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Americans for Tax Reform today sent a letter to members of Congress urging them to support H.R. 702, a bill introduced by Congressman Joe Barton (R-Tex.), which would repeal the outdated federal ban on crude oil exports. 

The current ban on the export of crude oil is a relic of 1970’s policy, enacted in response to fears of a domestic energy shortage. Yet today this outdated ban is no longer justified with domestic production at an all time high and the U.S. now one of the world’s leading producers.

H.R. 702 would repeal this outdated ban and allow the U.S. to fully realize the economic benefits of the ongoing renaissance in domestic energy production. Below is the full text of the letter:

Dear Congressman:

On behalf of Americans for Tax Reform I urge you to support H.R. 702, a bill introduced by Congressman Joe Barton (R-Tex.), which would repeal the outdated federal ban on crude oil exports.

The current ban on the export of crude oil is a relic of 1970’s policy, enacted in response to fears of a domestic energy shortage. Nearly four decades later domestic production is at an all time high and the U.S. is now one of the world’s leading producers of oil and natural gas. In fact, production in a number of individual states is outpacing some of the world’s top energy-producing nations. 

This renaissance in domestic production has led to a decline in U.S. dependence on foreign imports and an increasing domestic supply. As a result the U.S. has shifted from a nation concerned over energy scarcity in the 1970’s to a nation of energy abundance today.

Allowing the export of U.S. crude would lead to growth in the energy sector, the benefits of which would ripple throughout the economy. Studies show lifting the ban would add hundreds of thousands of jobs annually and billions to GDP while also reducing domestic gas prices. Allowing crude exports is also projected to have far-reaching impacts in virtually every state, not just producers, as a result of the sprawling production supply chain.

H.R. 702 would allow the U.S. to fully realize the benefits of increased domestic energy production. Specifically, H.R. 702 would prohibit federal officials from imposing or enforcing any restriction on the export of crude oil and would require the Secretary of Energy to study and make recommendations on the appropriate size and composition of the Strategic Petroleum Reserve.  

H.R. 702 also comes at an extremely important time with the U.S. moving to lift sanctions on Iran that would allow for increased exports of Iranian crude, a move that would put the U.S. at a competitive disadvantage.

It is for these reasons that I urge you to support H.R. 702 to lift the ban on crude oil exports.

 

Sincerely,                                

Grover G. Norquist                                                     

 

Photo Credit: Nicolas Raymond