"US Southern Senators On The Fence On Fuel Reserve"


"Drivers in the US Southeast could get relief at the pump thanks to a proposed government-owned stockpile of gasoline to offset major supply disruptions, but lawmakers from those states have yet to back the legislation that would create the emergency fuel reserve.

The Senate Energy and Natural Resources Committee will hold a hearing Tuesday to review the bill, which would require the Energy Department to establish 30 million barrels of petroleum product reserves, such as gasoline and diesel fuel.

The panel's chairman, Democrat Jeff Bingaman of New Mexico, introduced the legislation to help prevent the kind of gasoline supply problems and surge in pump prices that occurred in several southern states last year when hurricanes Gustav and Ike interrupted the fuel chain."

Tom Doggett reports for Reuters May 12, 2009.

Source: Reuters, 05/12/2009