Oil prices hit a 7-year high, above $82 a barrel on Monday
The White House is still pressing OPEC+ members to boost oil production amid the global energy crisis, which has pushed gas prices to their highest levels, according to an administration official.
A White House official told Reuters The Biden administration maintains its stance that OPEC should do “more” to deal with the crisis. Administration officials have held senior-level talks with OPEC members about the situation.
“The Biden administration is using every tool at our disposal to address anti-competitive practices in the US and global energy markets to ensure reliable and stable energy markets,” the official said.
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Oil prices have hit a seven-year high in recent days, rising above $82 a barrel on Monday. Production has lagged behind rising demand as activity accelerated by the level of the COVID-19 pandemic in economies around the world. According to AAA, the crisis has raised the cost of a gallon of gas to an average of $3.27.
OPEC+, members of the OPEC oil cartel and a group of allies, including Russia, have resisted calls to increase production beyond what is scheduled to meet rising demand. Earlier this month, OPEC+ nations said they would continue to raise oil output along with the monthly benchmark, as they had previously agreed – a decision that pushed up US crude prices.
The White House has pressed for weeks for OPEC and its allies to take steps to stabilize global markets.
Last month, White House Press Secretary Jen Psaki said the administration would “continue to talk to international partners, including OPEC, about the importance of competitive markets and to do more to set prices and support the recovery.” And in August, National Security Adviser Jake Sullivan said OPEC+’s rate of growth in oil production “just isn’t enough.”
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So far, the White House has refused to take direct action to reduce rising gas prices. Last week, White House Deputy Press Secretary Karine Jean-Pierre said the administration would “work with our agency partners to determine whether action is needed.”