According to American Petroleum Institute (API) Vice President of Regulatory and Economic Policy, Kyle Isakower, preliminary results from a new study on exports of crude oil show that consumers can save money at the pump.
‘This report shows what economists have been saying all along, that exports are good for consumers. Reversing the past mind set of energy scarcity to one of abundance means more investment in America. More investment in America leads to more American jobs, more revenue to the government, a lower trade deficit and increased security,’ said Isakower.
An initial examination of the API commissioned report by ICF International suggests the that the following would be attainable if crude exports were allowed;
- US crude exports could mean an additional US$ 70 billion in US upstream investments by 2020, leading to an increase in US oil production by as much as 500 000 bpd.
- Putting this additional US oil on the world market could reduce crude prices by as much as a dollar per bbl potentially leading to US$ 6.6 billion in annual savings for American consumers by 2020.
‘It’s undeniable that the American energy revolution has rendered our current export policies obsolete. Allowing exports will ensure that US production remains strong in a way that supports American consumers. Opening new markets for American production is a benefit to the economy,’ said Isakower.
Adapted from press release by Claira Lloyd
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/30012014/saving_consumers_money_exports/