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111568 1 (1980-02-12)

handle is hein.gao/gaobadykt0001 and id is 1 raw text is: 




              UNITED STATES GENERAL ACCOUNTING OFFICE
                       WASHINGTON, D.C.  20548

                                            FOR RELEASE ON DELIVERY
                                            Expected at 9:30 a.m.
   111568                                   Tuesday, February 12, 1980

                             STATEMENT OF
                             F. KEVIN BOLAND
           ASSOCIATE DIRECTOR, ENERGY AND MINERALS DIVISION
                              BEFORE THE
      SUBCOMMITTEE ON ENVIRONMENT, ENERGY, AND NATURAL RESOURCES
               HOUSE COMMITTEE ON GOVERNMENT OPERATIONS               661
                       '      ElON
              THE( '--'TMEN u  EO.GNeS PESPONSE TO THE    A c d'/7-
                   RISING PRICE OF HOME HEATING OIL7

Mr. Chairman and Members of the Subcommittee:

     We welcome the opportunity to be here to discuss the findings in

our recent report, Washington, D.C., Area Home Heating Oil Supplies
Adequate but at Escalatin (EMD-80-42, January 22, 1980),


which we prepared at t e request  f Senator John Warner. While the

report focuses on the Was ington, D.C., area heating oil market,

the issues discussed in the report concerning rising heating oil

prices and the Department of Energy's (DOE's) response to them are

national in scope and are not limited to any particular geographic

area. I will emphasize these issues in my testimony.

ESCALATING HOME HEATING OIL PRICES

     Nationally, the average residential selling price for heating

oil increased 111 percent between July 1976, when heating oil prices

were decontrolled, and last August. Most of this increase occurred

since January 1979. I should note that according to DOE figures,

the price, as of November 1979, had increased to 83.7 cents a gallon,

a 55-percent increase since January 1979. We are concerned that DOE,




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