Status of Strategic Petroleum Reserve Activities--December 1980

EMD-81-37: Published: Dec 22, 1980. Publicly Released: Jan 22, 1981.

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Title VIII of the Energy Security Act requires the President to fill the Strategic Petroleum Reserve (SPR) at an average rate of at least 100,000 barrels per day. The Administration's activities to fill the SPR were reviewed.

The Defense Fuel Supply Center (DFSC) has awarded contracts which bring the total amount of oil to be delivered to the SPR to an average of about 100,000 barrels per day. DFSC has received funds from the sale of entitlements for oil delivered to the SPR which will be available to finance the acquisition of additional oil. The Administration has continued to direct its attention to meeting the minimum supply requirement set forth in title VIII. Although the Secretary of the Department of Energy (DOE) has recommended that DOE purchase oil for the SPR in excess of the 100,000 barrels per day requirement, the President has not given DOE the authority to exceed the title VIII minimum requirement. The DOE fiscal year 1981 appropriation legislation reinforces congressional intent that the Administration exceed the minimum supply requirement set forth in the Energy Security Act. GAO believes that the Administration should comply with congressional intent and acquire oil above the 100,000 barrels per day requirement.

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