The U.S. Energy Information Administration released a new report on domestic gasoline prices and some groups, like the Producers for American Crude Oil Exports, say it shows Americans would not face higher gas prices if crude oil exports were allowed. Additionally, PACE believes the report demonstrates how outdated America's oil export ban is, Royalty Owners and Producers Educational Coalition reported.
The EIA "What Drives U.S. Gasoline Prices?" report found U.S. gasoline prices are linked to global prices because the nation is an active participant in the global petroleum market. It concluded a reduction or elimination of the ban of oil exports out of the U.S. would affect domestic prices based on how the relaxation changed international prices. Prices would also be influenced by the evolving demand for gasoline around the world, which is increasing in Asia, Latin America and the Middle East and declining in Europe and the U.S.
PACE released a statement stating how the report regarding prices is proof that a lift of the export ban is needed.
"As the EIA report notes, it's the global crude oil market - not the U.S. market - that determines prices at the pump," said PACE Executive Director George Baker. "That's why removing the ban will not raise gasoline costs for consumers and it will create jobs, generate economic growth and increase domestic oil production, which will provide greater energy security for the United States."