The Biden administration announced Tuesday it would release 42 million gallons of gasoline from the strategic fuel reserve into the Northeast markets to help cool off retail fuel prices.
Congress had ordered the sale from the National Gasoline Supply Reserve as part of the 2024 budget law, 118-42, requiring the Energy Department to close down the reserve after selling its inventory. DOE said it will accept bids for the fuel through May 28, with the revenue going to the Treasury. The fuel is to be delivered from the reserve sites in New Jersey and Maine no later than June 30.
DOE said it was meeting the congressional mandate now “to maximize its impact on gasoline prices,” it said in a statement. The coming Memorial Day weekend is typically considered the beginning of the summer driving season, when demand for gasoline climbs.
“The Biden-Harris Administration is laser focused on lowering prices at the pump for American families, especially as drivers hit the road for summer driving season,” Energy Secretary Jennifer Granholm said in the statement. “By strategically releasing this reserve in between Memorial Day and July 4th, we are ensuring sufficient supply flows to the tri-state [area] and Northeast at a time hardworking Americans need it the most.”
