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News from Rep. Stephanie Herseth
For Immediate Release
Contact: Russ Levsen, 202-226-4449

HERSETH OUTLINES WAYS TO PROVIDE RELIEF AT THE PUMP

September 8, 2005, Washington, D.C. – On a conference call with reporters today, U.S. Rep. Stephanie Herseth discussed ways she is working at the federal level to help provide relief for rising gas prices.

Herseth said, “Our thoughts and prayers continue to go out to the victims of Hurricane Katrina. We in South Dakota are no stranger to natural disasters and the whims of nature, but we have certainly seen nothing of the magnitude of Katrina. Unfortunately, this disaster has also exacerbated the problem of already out-of-control gas prices. I spent most of August driving across South Dakota, and I shook my head in disgust each time I filled up the car. Now, following Hurricane Katrina, a bad situation has gotten worse.”

Herseth continued, “Families, businesses, school districts and farmers across South Dakota are feeling the effects of high fuel prices, and with our cold months closing in on us fast – and projections of a 70% increase in the price of natural gas – all South Dakotans may experience a significant impact on their budgets.”

Herseth stressed that there is not any one, easy solution, but outlined the following steps to provide relief:

• An immediate investigation into rising fuel prices. Rep. Herseth has written the House Committee on Energy and Commerce and demanded an immediate and full investigation into the rising price of gasoline. Congress simply cannot allow multinational oil companies – boasting of their record profits – to gouge consumers, and we must fully understand what we can do to fix this problem.
• Releasing oil from the Strategic Petroleum Reserve – Even before Katrina hit land, Rep. Herseth called on the President to release oil from the reserve. The Strategic Reserve contains 700 million barrels of oil, and we must continue to release that oil to stabilize prices and pass along savings to working families as we rebuild our damaged energy infrastructure. Additionally, we should stop adding barrels to the reserve for the next few weeks in order to get that oil on the market immediately.
• An immediate, temporary relaxation of some environmental and shipping rules. Relaxing some rules on a temporary basis will make it easier for us to process and transport fuel throughout the United States. The EPA, for example, has approved the use of “winter blend” gasoline for the next few weeks, and some shipping rules have been relaxed to respond to the emergency.
• Increasing our refinery capacity. Last year, Rep. Herseth supported the United States Refinery Revitalization Act which sought to spur the development of new oil refineries throughout the United States. While that bill did not pass the Senate, the recently enacted Energy Bill does provide some additional refinery incentives, and Herseth continues to work in Congress to increase our refining capacity.
• Renewable fuels. Herseth was proud to support the recently passed Energy Bill, which will increase our support of renewable fuels, provide for new domestic oil production, and help us reduce our dependence on foreign oil. Earlier this year, Herseth authored legislation providing for a dramatic increase in the use of ethanol and biodiesel in the United States. Roughly 95% of that legislation was included in the Energy Bill. The 7.5 billion gallon Renewable Fuel Standard will mean that ethanol and biodiesel will become a significant and stable part of our energy supply in the years to come.

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