Washington, D.C. – Producers for American Crude Oil Exports (PACE) executive director George Baker issued the following statement regarding the Obama Administration’s announcement of a deal that puts in place a process that will lift the international sanctions on Iranian oil sales:
“Now that the United States government has secured a deal with Iran regarding its nuclear program, which puts in place a process that will allow Iran to freely sell oil on the world market, we urge President Obama and Congress to use their authority and allow U.S. oil producers to access that same global market. Once these sanctions are removed, the U.S. will be the only major oil producing country in the world that has restrictions on the export of domestically produced crude oil. The consequences of this voluntary, self-imposed restriction places American companies at a significant competitive disadvantage and threatens workers, government revenues, and the United States’ relationship with our international trading partners.
“According to news reports, Iran intends to double its crude oil exports now that the ban is lifted and according to the EIA it could lead to one million new barrels or more of oil a day entering the world market. Having the international market flooded with Iranian oil, while at the same time preventing U.S. oil producers access to the same global market, is not in the best interest of the U.S. or our global allies. Ending the U.S. export ban would give our trading partners access to what they say they want: secure, reliable oil supplies while limiting the market influence of Russia, Iran and other OPEC members.
“Furthermore, the U.S. export ban continues to cost American jobs and harm local economies that depend on a strong oil and natural gas industry. If the federal government is going to green light Iranian crude oil exports, it should also allow U.S. companies to compete on the world market and let U.S. consumers reap the benefits in the form of lower gasoline prices and new jobs. Now more than ever, Congress and the President must take immediate action to end the ban on U.S. crude oil exports.”