Statement by Deputy Press Secretary Speakes on the Deregulation of Natural Gas

The President met today with the Cabinet Council on Natural Resources and Environment to discuss ways to solve problems in the current law governing natural gas while protecting the consumer from the present rapid increase in natural gas prices.

The Council reported on the need to correct certain fundamental flaws in the Natural Gas Policy Act, which was passed during the previous administration. The Council pointed out that present legislation is not protecting the consumer from rapid price increases and is instead operating to subsidize more expensive imports and uneconomic production of natural gas.