As North Carolina's gas prices climb again, Jean-Pierre castigates OPEC for constricting oil supply: 'The decision that OPEC+ made last week was a mistake and it was short-sighted'

President Joe Biden is considering further drawing from the nation's Strategic Petroleum Reserves as gas prices are again rising ahead of Election Day. | Courtesy Photo

By Laurie A. Luebbert

Oct 20, 2022

A week after OPEC announced its decision to slash cut back on oil production by 2 million barrels per day, White House Press Secretary Karine Jean-Pierre addressed questions about the administration’s plans to respond to OPEC’s decision and its ramifications for the U.S. gas supply.

“We believe the decision that OPEC+ made last week was a mistake and it was short-sighted,” Jean-Pierre said. “The president has talked about recalibrating, readjusting our relationship with Saudi Arabia.”

This drastic decrease in supply comes as North Carolina has seen gas prices start climbing again. North Carolina’s average gas prices are currently $3.51, up from $3.38 a month ago, according to the American Automobile Association (AAA).

The constriction of potential new sources of oil under President Joe Biden’s administration has led to significant jumps in gas prices, Center Square reports

“We are all living the consequence: outrageously high prices and growing shortages,” Daniel Turner, executive director of the energy workers advocacy group, Power the Future, told that media outlet.

Tension between the United States and Saudi Arabia was deepened by the fact that the U.S. had requested that the massive production cut be delayed for another month. Saudi officials claimed that the reason for the request was nothing deeper than an attempt to keep public sentiment positive on the eve of midterm elections, a report in the Wall Street Journal asserts.

After its significant cut of oil production last week, OPEC explained that it was reducing its forecasts for oil demand by 460,000 barrels per day, citing a dangerously unpredictable world economy as its reason for doing so.

Meanwhile, although the current levels of U.S. oil reserves in the Strategic Petroleum Reserve (SPR) stocks have been depleted by more than 33% in the past 12 months, Biden is considering further dipping into the SPR. He plans to authorize the release of up to 15 million more barrels before the end of the year. That is a direct response to OPEC’s recent decision to slash production, but it is also consistent with his administration’s long-term struggle to drive down the price of oil.

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