Scientists and doctors face a shortage of helium, so private companies can make extra profit from government owned helium.
In the United States, supplies come from the reserve, which is run by the Bureau of Land Management. The reserve supplies about 30 percent of the world's helium and 42 percent of the domestic market, and the helium is collected in an underground reservoir in a 1,000-acre Crude Helium Enrichment Unit north of Amarillo, Texas.
The reservoir, known as the Bush Dome,...
The helium shortage,... could have a ... serious impact because of its importance to industries such as health care, biotechnology, defense, scientific research and water manufacturing.
Increase in global demand as well as shutdowns and outages at helium-producing plants that supply two-thirds of the world's supply have contributed to the shortage.
Private companies pay a price set by the government to buy the crude helium, which is then processed to be sold for commercial use.
"The government doesn't want to be in that business, but we can't control how private companies set up their contracts," Burton said. "That is unintended consequence of the (Helium Privatization) Act."
Burton said the bureau is scheduled to pay off the debt by next year. After the agency relinquishes its role as overseer, there would still be about $1.3 billion worth of helium underground, Burton said.
...four companies with direct access to the crude helium reserves have created a monopoly and distorted the market. "Taken together, the restricted access to the resource and the manufactured price have created a situation where a substantial portion of taxpayer-owned helium is being sold overseas at a significant profit while our domestic end-user community is suffering from supply shortages,"...
The critical shortage has far-reaching effects in various industries, said Michael Shaw, chairman of the physics department at California Lutheran University. Liquid helium is used to cool magnets in MRI equipment and to make fiber-optic cables and semiconductors. Gaseous helium is used in angioplasties. In scientific research, liquid helium is used in physics applications and in superconductivity. Helium is used as a shielding gas in welding.
"The real message is that there is a real crisis that is about to be upon us for many industries," Shaw said. "If a scientist has a certain budget and helium prices increase, suddenly something else in the budget has to be cut. Either you do less research, or the research that you do will cost much more." [emphasis mine]
Burton said. "That is unintended consequence of the (Helium Privatization) Act." B/S.
...four companies with direct access to the crude helium reserves have created a monopoly and distorted the market.
That is Exactly the intent of privatizing the Helium market and every other market.