White House Explores Emergency Measures to Boost Fuel Supply as Prices Surge
Washington, Saturday, 12 September 2026.
With U.S. refineries running at 98% capacity and diesel topping $6 per gallon, the White House is considering emergency powers to fund plant upgrades and stabilize fuel supplies.
Presidential Authority and Legislative Tools
The legal groundwork for such action was established in April 2026, when President Trump issued a presidential determination declaring domestic petroleum production and refining essential to national defense [2][3]. This order authorized the use of Section 303 of the Defense Production Act to provide financial assistance and direct industrial resources toward necessary capacity [1][3]. The Act grants the president sweeping powers, including the authority to compel private companies to boost production of key goods deemed vital for national defense [3]. However, refining executives have advised that federal money would produce results faster if used to expand existing plants or improve efficiency rather than building new refineries, which cost billions and take years [1][2].
Geopolitical Drivers and Market Outlook
The current energy crisis is exacerbated by geopolitical instability, with Brent crude prices exceeding $100 per barrel during the week of September 7 to September 10, 2026 [6]. Disruptions in the Middle East, including threats to Gulf energy infrastructure and attacks on oil tankers, have squeezed global fuel supplies alongside Ukraine’s strikes on Russian refining facilities [3][6]. These factors contribute to a volatile market where U.S. diesel inventories are 13% below their five-year average [1]. The stabilization of gasoline and diesel prices is considered critical for the administration ahead of the November midterm elections, reflecting the acute sense of crisis within the White House [3][6].