40-year-old ban on oil export ban was lifted by US [ Current Affairs ]
The United States (US) has make significant shift by lifting a 40 year ban on oil which will be grater step for the growing US oil industry. President Barack Obama will be permitted 1.1 trillion dollars will be spending bill to fund US government until 2016 this decision is taken as part of it.
- This will be historic move which will help in economic growth and in turn create jobs along with new revenues, prosperity and it also enhanced energy security for other countries.
- It will cover the way for energy lacking countries such as India to built-up additional borderline and expand import basket of oil from US.
- Arab oil prohibition that had sent global shooting up of oil prices, the ban of crude oil transfers was born of oil shock of 1973 - 1974.
- Oil exports were banned because during Arab-Israeli war the US has supported Israel and then in 1975 Arab members of the Organization of the Petroleum Exporting (OPEC) Countries had banned Oil exports.
- The ban was forced lookout for superior energy freedom.
- In 1975, US also had created a backup stockpile of crude oil the Strategic Petroleum Reserve.
- Published on: December 21, 2015