U.S. Sen. John Barrasso, R-Wyo., introduced a bill this week that would suspend oil deposits into the nation's Strategic Petroleum Reserve in an effort to lower gasoline prices.

"I support the goal of protecting America's energy security, and the Strategic Petroleum Reserve has served us well. But the federal government shouldn't be competing with consumers for oil," Barrasso said in a prepared statement on Tuesday.

Barrasso's bill instructs the federal government to stop putting oil into the Strategic Petroleum Reserve when the average price of gasoline is over $2.50 per gallon, and the price of diesel fuel exceeds $2.75 per gallon.

But there's much disagreement about whether doing so is risky in terms of national security, and whether it would actually have a significant impact on prices at the pump.

Oil industry analyst Peter Morici said such proposals from congressional lawmakers are political ploys to make constituents back home feel like their delegates are doing something to address gasoline prices.

"Diverting oil from the Strategic Petroleum Reserve won't do diddily for gas prices," Morici said. "It's unconscionable that a member of the U.S. Senate would stoop to such a naked political ploy."

The U.S. deposits about 70,000 barrels of petroleum into strategic reserve daily. The oil is stored in underground salt caverns in four sites along the Gulf Coast. World oil demand is about 85 million barrels per day.

In a press conference Tuesday morning, President Bush reiterated his long-held position that diverting oil from the reserve would have little impact on consumer prices.

"And I don't think that's going to affect price when you affect one-tenth of 1 percent, and I do believe it is in our national interests to get the SPR filled in case there's a major disruption of crude oil around the world," Bush said.

Barrasso's plan is in line with proposals brought by a number of Democrats, including House Speaker Nancy Pelosi, D-Calif. Barrasso spokesman Gregory Keeley said the senator's approach will have bipartisan support. He said Barrasso will sometimes disagree with the president and the GOP in order to best serve Wyoming's interest.

Keeley also noted that the bill is co-sponsored by Sen. Kit Bond, R-Mo.

"I think there will be bipartisan action to get language on this issue through," Keeley said. "I wouldn't be surprised to see there is bipartisan support for a bill like Sen. Barrasso is trying to push through here."

Sen. Mike Enzi, R-Wyo., said he is studying Barrasso's legislation and the potential impact it might have. Rep. Barbara Cubin, R-Wyo., didn't respond to an inquiry by the Star-Tribune.

Some industry analysts believe controlling the type of crude in the strategic reserve could help improve gasoline prices.

Industry analyst P.K. Verleger Jr. testified before a U.S. Senate Committee in December that demand for light sweet crude has increased due to more stringent air pollution regulations for diesel.

"The key question is not whether you put oil in the Strategic Petroleum Reserve. It's whether you put sweet crude in," Verleger told the Star-Tribune. "Diesel is in short supply. In fact, if we take sweet crude out we could moderate prices a lot."

Most of the oil produced in Wyoming is considered "sour crude." Light sweet crude represents less than 20 percent of the 54.1 million barrels of oil produced in Wyoming in 2007, according to the Wyoming Oil and Gas Conservation Commission.

The Strategic Petroleum Reserve was created in the 1970s in response to the OPEC oil embargo. The Energy Policy Act of 2005 mandated that the Strategic Petroleum Reserve be filled to its authorized 1 billion barrels capacity.

Currently the reserve holds about 700 million barrels of oil, enough to replace about 58 days of oil imports.

The president has sole authority in regard to releasing volumes from the reserve. Congress has made several attempts to pass laws that would trigger a release based on gasoline prices.

Energy reporter Dustin Bleizeffer can be reached at (307) 577-6069 or dustin.bleizeffer@trib.com.

* Last we knew: Self-serve regular gasoline topped an average $3.50 per gallon last week across the nation.

* The latest: Sen. John Barrasso, R-Wyo., introduced a bill this week that would suspend oil deposits into the Strategic Petroleum Reserve in an effort to lower gasoline prices.

* What's next: Senate Majority Leader Harry Reid, D-Nev., has directed key committee chairmen to assemble a package of proposals aimed at addressing gasoline prices. Proposals should reach the Senate floor by Memorial Day.]]->

* The Teapot Dome Naval Petroleum Reserve 3 is located about 44 miles north of Casper in the Powder River Basin. It's a small "stripper well" oil field that produces about 230 barrels of crude and 1,000 gallons of liquid natural gas per day.

* Its main purpose is to serve as a testing ground for new oil field strategies and technologies. Research is overseen by the Rocky Mountain Oilfield Testing Center.

Source: U.S. Department of Energy]]->