By January 1974, oil prices had risen from $3 to $11 per barrel. In response to the embargo, President Richard Nixon did lots of counterproductive things, including imposing oil price controls and lowering highway speed limits. Nixon also launched Project Independence, declaring, "Let this be our national goal: At the end of this decade, in the year 1980, the United States will not be dependent on any other country for the energy we need to provide our jobs, to heat our homes, and to keep our transportation moving." (Automobile aside: Even before the oil embargo, in 1970, Nixon proclaimed in an environmental message to Congress: "I am inaugurating a program to marshal both government and private research with the goal of producing an unconventionally powered virtually pollution free automobile within five years.")
President Gerald Ford moved the date for achieving American energy independence back to 1985. (Auto Aside: Ford signed the 1975 Energy Policy and Conservation Act, which set federal standards for energy efficiency in new cars for the first time.)
President Jimmy Carter made energy policy the centerpiece of his administration. He notoriously declared on April 18, 1977, that achieving energy independence was the "moral equivalent of war." In August of that year, Carter signed the law creating the United States Department of Energy, intended to manage America's energy crisis.
In late 1978, the beginning of the Iranian revolution caused a shortfall in oil exports, and prices doubled over the next couple of years. Carter, wearing a sweater on national television, urged Americans to turn down their thermostats. "Beginning this moment, this nation will never use more foreign oil than we did in 1977—never," Carter declared in his nationally televised speech on July 15, 1979.
He proposed a sweeping $142 billion energy plan which would achieve energy independence by 1990. Part of his plan included the "creation of this nation's first solar bank, which will help us achieve the crucial goal of 20 percent of our energy coming from solar power by the year 2000." Carter imposed an import quota of 8.5 million barrels of oil per day and created the $20 billion Synfuels program, which was supposed to produce 2.5 million barrels of synthetic fuels per day by 1990. To his credit, Carter did begin to dismantle Nixon's crude oil price controls. (Auto aside: In his 1979 speech Carter warned: Citizens who insist on driving large, unnecessarily powerful cars must expect to pay more for that luxury.)