U.S. Rep. Kay Granger (R-TX) said on Friday that ending the United States’ outdated federal prohibition against exporting crude oil would create thousands of new jobs in the U.S. while providing a stable oil market to global allies.
As many as 300,000 new jobs would be created nationwide, including 35,000 in Texas, which has suffered from job losses of late. According to Brookings Institute estimates, allowing crude oil exports could increase U.S. gross domestic product by as much as $1.9 trillion by 2039.
“We have an abundance of crude oil production, our refineries are running at near capacity, our storage is at record highs, and this will help our producers move forward into the world market,” Granger said. “The elimination of this out-of-date policy is a win-win for the American economy and our global allies.”
Granger supported ending the 40-year-old crude oil export prohibition, which was included in the Fiscal Year 2016 omnibus Appropriations bill. She also served as a cosponsor of legislation authored by Rep. Joe Barton (R-TX) to eliminate the prohibition. The provisions in the omnibus Appropriations bill were based on that legislation.
“Getting rid of the policy blocking U.S. crude oil exports is one of the most important decisions Congress has made this year,” Granger said. “We need to take away control of the world oil policy from the OPEC oil ministers and put it in the hands of American innovators and workers.”
Many European nations receive the majority of their energy from Russia, while other nations remain dependent on supplies from unstable Middle East nations like Libya. A stable supply from oil producers in the U.S. would reduce the possibility of blackmail policies from these nations, according to Granger.
“Creating global security is more than just providing military support – giving our allies an energy supply they can depend on is extremely important,” Granger said. “We have the best energy technology, the most creative business minds and the most reliable source of crude oil. Releasing America’s crude exports into the global oil market will bring rewards to us and our allies.”