IV

107TH CONGRESS

2D SESSION H. RES. 379

Providing that certain actions should be taken with respect to the actions

of OPEC and other oil-exporting countries, and with respect to decreasing the dependency of the United States on foreign sources of oil.

IN THE HOUSE OF REPRESENTATIVES

APRIL 9, 2002

Mr. GEKAS submitted the following resolution; which was referred to the Committee on International Relations, and in addition to the Committee on

Energy and Commerce, for a period to be subsequently determined by the

Speaker, in each case for consideration of such provisions as fall within

the jurisdiction of the committee concerned

RESOLUTION

Providing that certain actions should be taken with respect

to the actions of OPEC and other oil-exporting countries,

and with respect to decreasing the dependency of the

United States on foreign sources of oil.

Whereas the 11 members of the Organization of Petroleum

Exporting Countries (OPEC) account for 40 percent of

world production and 77 percent of the world’s proven oil

reserves, and close alliances with other oil-exporting

countries that are not members of OPEC have increased

OPEC’s market power;

Whereas OPEC actively sought out commitments of export

reductions by those other oil-exporting countries begin-
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ning in November of 2001 in an effort to raise the world

price of oil;

Whereas OPEC made as a condition of cutting its exports by

1,500,000 barrels per day, the pledges to reduce exports

by nearly 500,000 barrels per day that were made by the

non-OPEC countries of Mexico, Norway, Oman, Angola,

and Russia;

Whereas the total pledged reductions of 2,000,000 barrels

per day by OPEC and non-OPEC countries threatened

United States consumers and businesses with the prospect of higher energy costs at precisely the time the Nation struggled to deal with the economic ramifications of

the terrorist attacks of September 11, 2001;

Whereas on March 15, 2001, despite evidence of increased

demand, OPEC announced that it would continue to restrict oil output at its current level;

Whereas as a direct result of that announcement, gasoline

prices to consumers surged by nearly 15 cents per gallon

across the United States between March 8, 2002, and

March 22, 2002, the largest 2-week price-per-gallon increase in nearly 50 years;

Whereas the dependence of the United States on foreign

sources of oil, in a market dominated by OPEC, has cost

the United States economy several trillion dollars since

1973, as a result of shocks from steep increases in oil

prices and of oil payments well in excess of prices that

would prevail in a relatively free market; and

Whereas a comprehensive national energy policy would provide the United States with a plan to become more energy self-sufficient and less dependent on the OPEC oil

cartel: Now, therefore, be it
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1 Resolved, That—

2 (1) the President should express to the oil ex3 porting countries that are not members of the Orga4 nization of Petroleum Exporting Countries (OPEC),

5 such as the Republic of Mexico, that decisions to re6 strict crude oil supply in the world market, in ac7 cordance with requests made by the OPEC cartel,

8 adversely affect the national security of the United

9 States and the world economy;

10 (2) the President should encourage the allies of

11 the United States in the Persian Gulf region, includ12 ing Saudi Arabia, Kuwait, Qatar, and the United

13 Arab Emirates, who are members of the OPEC car14 tel, to reconsider their December 28, 2001, an15 nouncement to reduce output and their March 15,

16 2002, announcement to hold the cartel’s crude oil

17 output at current levels despite indications of in18 creased demand in the United States and abroad;

19 (3) the President should encourage the oil ex20 porting countries allied to the United States, includ21 ing non-OPEC states such as Mexico and Norway,

22 and OPEC members Saudi Arabia, Kuwait, Qatar,

23 and the United Arab Emirates, to increase oil pro24 duction and exports to the United States to offset
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1 any shortfall in exports resulting from Iraq’s boycott

2 of oil shipments; and

3 (4) the United States Senate should act to pass

4 legislation, such as H.R. 4 that passed in the United

5 States House of Representatives, instituting a com6 prehensive national energy policy that would bolster

7 the national security of the United States by reduc8 ing dependence on foreign sources of energy, thereby

9 resulting in lower prices for consumers in the United

10 States.

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