Democrats Are Going To Lower Gas Prices By Making It More Expensive To Produce Gasoline
Democrat House Majority Leader Steny Hoyer took the floor today in support of new energy legislation. He prefaced his comments by griping about high gas prices:
“This morning’s headline in the New York Times states the harsh reality: ‘Gas Prices Soar, Posing a Threat to Family Budget.’
“The fact is, the nationwide average for a gallon of regular gasoline was $3.14 this week - an increase of 19 cents in just the last two weeks - and some energy experts fear gas prices could hit $4 a gallon this spring.
“Diesel prices are hitting new records daily, and oil hit a record high of $100.88 a barrel on Tuesday.
Then goes on to rattle off a whole slew of new government spending on alternative energy schemes, all of which does nothing to lower actual gas prices (something the government shouldn’t be in the business of doing anyway) while significantly increasing our tax burden. Meaning not only does our energy situation not change in any really significant way, at least as far as gasoline is concerned, we’re also stuck paying for massive new government spending projects.
“This bill is nothing less than a critical investment in the low carbon economy of the future that will result in the creation of millions of new jobs.
“It extends the production tax credit for wind, geothermal and other renewables to 2011, and renews the investment tax credit for individual homeowners and businesses to maintain incentives for solar energy through the end of 2016. Without the prompt extension of these tax credits, renewable energy project work stoppages could cost 116,000 jobs.
“Furthermore, this bill will spur the commercialization of the next generation of automobiles by establishing a $4,000 credit for the purchase of a plug-in hybrid.
“It will encourage investments in cleaner fuels, creating economic incentives to invest in bio-fuels, including bio-diesel and cellulosic ethanol.
“And, it will close the ‘Hummer’ tax loophole, which encourages taxpayers to buy gas-guzzling SUVS.
“In addition, this legislation will create incentives for the construction of energy-efficient buildings and the retro-fitting of existing homes, which will reduce pollution and energy use.
“Finally, the energy conservation bonds included in this bill will spur investments in efficiency, create jobs, and reduce carbon emissions.
To cap off this alleged solution to high energy prices, Hoyer announces that the legislation would end “subsidies” for oil industry. Subsidies meaning, in liberal speak, tax relief.
“Now, in keeping with this Democratic Majority’s commitment to fiscal responsibility, this legislation will not add to the deficit.
“Rather, the tax incentives contained in this bill are offset by repealing $18 billion in unnecessary tax subsidies over the next 10 years that otherwise will be enjoyed by the largest oil and gas companies in America.
“Last year alone, the five largest oil companies had a combined profit of $123 billion – which only provokes this question: Do these companies need and deserve these taxpayer subsidies? The answer, of course, is no.
Actually, the real question is “Does the government need these massive new tax revenues.” And the answer is, of course, “No.”
But here’s what I don’t understand: If the oil industry, which pretty much every American depends on to maintain the quality of life we’ve all come accustomed to, doesn’t deserve subsidies because of high profits why should the green industry - including companies like GE - get subsidies? Are those companies not equally as guilty of those nasty profits Democrats hate so much? Is it really that the oil companies make too much money or just that they’re the wrong kind of company for liberals?
I, personally, am not really in favor of the government giving any particular company or industry special treatment, but the Democrats could at least be honest with their intentions here. It’s not about reducing oil prices or creating alternative sources of energy. It’s about granting government largess to their preferred companies as opposed to those preferred by Republicans.
