STUDY PREDICTS U.S. DEPENDENCE ON FOREIGN OIL A government study has concluded the U.S. Will be dependent on oil from the middle east into the next century and must take steps to reduce its vulnerability, the New York Times said. The newspaper said the inter-agency government study found a serious oil-dependency problem due to steadily falling domestic production and rising demand for imported oil. The study concluded that by 1995 the U.S. Will be relying on foreign countries for 50 pct of its oil, more than the peak of 48 pct reached in 1977 and far above the 33 pct rate during the 1973-74 Arab oil embargo. The U.S. Now imports about 38 pct of its oil needs, up from 27 pct a year ago, the New York Times said. It said recommendations sent to the White House by Energy Secretary John Harrington include financial incentives to raise domestic oil production by one mln barrels a day from the current 8.4 mln barrels. The newspaper said the administration has placed increased emphasis on stockpiling oil reserves. It said the view now held is that the Strategic Petroleum Reserve to be tapped in times of shortages, should be increased by 100,000 barrels a day, rather than 35,000 as called for in the 1988 budget. The newspaper said Harrington may propose restoring the depletion allowance to major producers. "The administration also plans to renew its efforts to ...Repeal the windfall profits tax, remove bars to drilling on the outer continental shelf and repeal the law that limits the use of natural gas in industrial and utility boilers," it added. The New York Times quoted Senator Don Nickles of Oklahoma as saying the study greatly underestimated potential U.S. Demand for imported oil in the next decade and overestimated the amount of domestic oil which would be produced.