Without question, the overriding matter of concern has been the unprecedented spike in gas prices, up 18 cents nationally in the last week alone and 77 cents since the beginning of this year. Today, the average price of a gallon of gasoline in Arkansas is $2.54, up from $1.78 just one year ago.  These rising gas prices are an unavoidable hardship on our working families, seniors, and farm families.   After months of record-breaking gasoline prices, the pocketbooks of America's working families are feeling the squeeze.  Rising gas prices mean that families have less money to spend on essential needs, such as clothing and groceries, a factor that hurts our overall economy as well as our individual families.    

There are several factors that have contributed to the recent skyrocketing prices at the pumps. Instability in foreign countries rich in oil supply, increased oil consumption around the world, and traditional summer travel all contribute to our current situation.  Oil is also in much higher demand.  It took the world 125 years to consume the first trillion barrels of oil; however, we will consume the second trillion in the next 25 years.  According to U.S. Geological studies, we will have consumed half world’s oil by 2030.  While steps must be put in place to reduce our long-term dependency on foreign oil, we must take measures to impact prices in the short-term and more importantly reduce conditions that will impact rising gas prices in the future. 

I am co-sponsoring House Resolution 299 (H. Res. 299), which requires the President to suspend acquisitions to the Strategic Petroleum Reserve (SPR).   When President Clinton stopped acquisitions to the SPR, the price per barrel of oil dropped six dollars.  In 1991 when President George H. W. Bush stopped acquisitions to the SPR, prices dropped eleven dollars per barrel.  This legislation also instructs the President to direct the Federal Trade Commission (FTC) and the Attorney General to exercise vigorous oversight over the oil markets to protect the American people from price gouging and unfair practices at the gas pump.   

During my travels, residents have expressed concerns that they believe price gouging is occurring in relation to the fluctuations in gas prices.  Since 2002, the FTC has monitored weekly average retail gasoline and diesel prices in 360 cities nationwide to find, and if necessary, recommend appropriate action on pricing irregularities that might indicate anticompetitive activity.  Information is collected daily from different regions throughout the country.  In no other industry does the FTC maintain a price monitoring project such as this.   

I am proud to say that I voted in support of the Energy Bill recently signed into law.  This bill is a good first start, but it simply does not go far enough to reduce our dependency on foreign oil and increase domestic production.  This is why I have co-sponsored H.R. 1398, legislation that mandates we have ten percent ethanol in all gas by the year 2010 and five percent biodiesel in all diesel by the year 2010.   Increasing the amount of ethanol and biodiesel in our domestic fuel will allow the U.S. to become less dependent on foreign oil and provide a new market for our farm families.    

American working families, seniors, and our farm families are feeling their wallets tighten due to unprecedented gas prices.   While the Energy bill was an excellent start, we must continue to develop ways to reduce our dependency on foreign oil, increase domestic production, and develop more alternative fuels.  As your United States Congressman, I remain committed to voicing your needs and concerns in our nation's capital and will continue to work with my colleagues on both sides of the aisle to address your issues of concern.