House Committee Approves Oil Price Reduction Act

July 7, 2008 - 7:25 PM

(CNSNews.com) - The House International Relations Committee on Wednesday approved the Oil Price Reduction Act which calls on the Clinton Administration to adopt a multilateral strategy with other oil consuming countries and take the steps necessary to reduce fuel prices.

The bill now goes to the floor for consideration by the whole House and a committee spokesman told CNSNews.com that action on the legislation could come early next week.

The act proposes that the Clinton Administration should adopt a multilateral strategy with other oil consuming countries and to take steps to reduce, suspend or terminate assistance or even arms sales to oil exporting countries that engage in price fixing.

After the committee vote, House International Relations Committee Chairman Benjamin Gilman (R-NY) said on Capitol Hill, "The administration has admitted that its response to this crisis was woefully inadequate. This legislation will help the president to do the right thing for the American people."

However, Gilman also believes the bill carries a stronger message to OPEC nations.

"This measure sends an important message to oil producing states: that artificially limiting production to the detriment of the US economy will not be tolerated and American foreign policy will make reducing the price of oil a top priority," Gilman said.

Gilman also received committee approval on an amendment to the bill that would delete what he called "unnecessary reporting requirements" in order to give Clinton additional time to pursue diplomatic solutions to the fuel crisis.

The committee also approved an amendment proposed by ranking Democrat, Congressman Sam Gejdenson (D-CT) that calls for multilateral diplomatic efforts to reduce oil prices or bilateral efforts when the United States is the sole source of a particular weapons system.