Petroleum Price Reduction Act

To amend the Export Control Reform Act of 2018 to provide for the control of and prohibition on the export of crude oil and finished oil products (other than natural gas) from the United States under that Act. 1. Short title This Act may be cited as the Petroleum Price Reduction Act 2. Control of and prohibition on the export of crude oil and finished oil products (other than natural gas) under the Export Control Reform Act of 2018 (a) In general Section 1754 of the Export Control Reform Act of 2018 ( 50 U.S.C. 4813 (g) Control of and prohibition on export of crude oil and finished oil products (other than natural gas) (1) In general Notwithstanding any other provision of law (other than the provisions of this subtitle), the President shall control and prohibit the export of crude oil and finished oil products (other than natural gas) from the United States under the authority of section 1753 at any time if the President determines and certifies to the appropriate congressional committees that the closing price of front month contracts for West Texas Intermediate crude oil— (A) has exceeded $70 per barrel for three consecutive trading days; (B) has exceeded $70 per barrel for five of the preceding 10 trading days; or (C) has exceeded $80 per barrel at any time. (2) Termination The President may terminate the imposition of the prohibition required by paragraph (1) if the President determines and certifies to the appropriate congressional committees that— (A) the closing price of front month contracts for West Texas Intermediate crude oil has not exceeded $70 per barrel for 15 consecutive trading days; and (B) the current, available supply of crude oil in the United States is stable or increasing. (3) Adjustment for inflation (A) In general The President may adjust the dollar amounts specified in subparagraphs (A), (B), and (C) of paragraph (1) and paragraph (2)(A) on the date that is 60 days after the date of the enactment of this subsection, and at the beginning of each fiscal year thereafter, to reflect the percentage (if any) of the increase in the average of the Consumer Price Index for the preceding 12-month period compared to the Consumer Price Index for fiscal year 2021. (B) Consumer Price Index defined In this paragraph, the term Consumer Price Index (4) Waiver (A) In general The President may waive the imposition of the prohibition required by paragraph (1) with respect to— (i) the export of crude oil or finished oil products (other than natural gas) pursuant to a contract or other legally binding obligation of an exporter that is in force as of the time the prohibition is to go into effect; and (ii) the export of crude oil or finished oil products (other than natural gas) to any foreign country if the President determines that it is in the national security interests of the United States to do so. (B) Congressional certification The President shall submit to the appropriate congressional committees a certification with respect to each exercise of the waiver authority pursuant to subparagraph (A). (5) Appropriate congressional committees defined In this subsection, the term appropriate congressional committees . (b) Effective date The amendment made by subsection (a) shall take effect on the date that is 30 days after the date of the enactment of this Act.

Summary: Petroleum Price Reduction Act This bill requires the President to prohibit exports of crude oil and finished oil products (other than natural gas) whenever the price for crude oil exceeds a specified threshold. The President may waive the prohibition in certain circumstances.