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Resolution Urging
U.S Congress to Ban
Excessive Energy
Commodities
Speculation
WHEREAS, Earlier
this year the price
of a barrel of oil
reached and all-time
high; and
WHEREAS, Top ranking
oil executives have
stated that they
expect the price of
oil to rise above
$250 per barrel in
2009; and
WHEREAS, Studies
have found that one
quarter of the
worldwide increase
in energy costs was
not due to changes
in supply and demand;
and
WHEREAS, A report of
the U.S Senate’s
permanent
Subcommittee on
Investigations of
the Committee on
Homeland Security
and Governmental
Affairs explained”…there
is substantial
evidence supporting
the conclusion that
the large amount of
speculation in the
current market has
significantly
increased prices;”
and
WHEREAS, The
Commodities Futures
Modernization Act of
2000 has allowed
speculators to buy
and sell contracts
for oil and other
energy commodities,
acting as middle-men
and artificially
increasing energy
prices; and
WHEREAS, Since 2006,
the Commodities
Futures Trading
Commission has
allowed certain
companies to conduct
after-hours,
unregulated, over-the-counter
oil transactions via
electronic trading
terminals; and
WHEREAS, Numerous
industry experts
fear that such
speculation is
creating an “energy
bubble” similar to
the internet and
housing bubbles that
led to economic
downturn over the
past ten years; and
WHEREAS, An energy
bubble has the
potential to have
even more dramatic
effects on the U.S
and world economy
than previous
bubbles because a
great portion of the
modern economy is
driven by energy-intensive
industries; and
WHEREAS, Local and
International
leaders have called
for a “ban on
speculation in the
commodities market
as a key to a new
global financial
order”
WHEAREAS, the rising
cost of energy is
already creating
problems for the
average American
consumer, and
millions of people
worldwide, causing
increasing poverty
and higher prices
for everyday items;
making it
increasingly
difficult for
families to afford
food, heating,
housing, and many
other necessities.
THEREFORE LET IT BE
RESOLVED, that NHCSL
calls upon policy
makers at all levels
of government
including but not
limited to U.S
Congress to stop
excessive Energy
Speculation by the
Commodities Futures
Trading Commission;
BE IT FURTHER
RESOLVED THAT, that
upon adoption,
copies of this
resolution be sent
to members of the U.
S. Congress and The
Senate Committee on
Homeland Security
and Government
Affairs.
This resolution
was adopted on
November 15, 2008,
at the National
Hispanic Caucus of
State Legislators
Executive Committee
Annual Meeting held
in Las Vegas,
Nevada.
Representative
Joseph Miró (DE),
NHCSL president
Sponsored By:
Senator Juan M.
Pichardo |
