Posted on 04/24/2006 6:37:11 AM PDT by ritewingwarrior
Something can be done by govt, to help the oil companies lower prices at the pump. Cut regulations, get rid of mandates for different formulations, but don't tax the companies higher! This will result in higher prices at the pump to make up the difference, the govt knows this, but will use any excuse to extort more money for its own usage.
If they are so evil, every 'populist' here should demand that their retirement planes, 401k plans, mutual funds,and another that invests in the S&P 500 indexes, ALL divest themselves of those mean, nasty, greedy oil companies.
Agreed.
Bring it on, Congress. Big Oil will be the least of your worries...
I suggest a windfall 'profit' tax on elected officials. Any elected official who has an increase in net worth during his term, must pay a 70% tax on those increases!!!!
Exactly. The last time we had a Windfall Profits Tax--many small independent drillers/producers were driven out of business. The government needs to not only get the heck out of the way--they need to reduce regulation, allow more drilling and NOT punish companies (via higher taxes) for producing a product that we need.
Good point.
I like it. I'd also suggest a "Windfall Profits Tax" on their obscene pensions (which, btw, is rapidly becoming non-existent in the private sector).
I remember that!
Maybe we should tax politicians by the word, or the press conference. :)
Last fall, Congress passed energy legislation mandating a seven-year ramp up in the amount of biofuel blended into the nation's gasoline stocks, beginning with nearly 4 billion gallons in 2006 and rising to 7.5 billion gallons in 2012. Ethanol is expected to fulfill most of this requirement.
Additionally, numerous states that use reformulated gasoline have banned the use of ethanol's only commercial competitor, methyl tertiary butyl ether, or MTBE, which has been found to contaminate underground water supplies.
Congress also decided not to include a liability waiver in the energy bill to protect refiners that blended MTBE into gasoline from lawsuits stemming from contamination. This has touched off a rapid phase-out of MTBE from gasoline stocks ahead of May when the renewable fuel provisions in the energy bill kick in and refiners say they face liability exposure.
snip
By January of this year, the domestic ethanol industry was producing 288,000 barrels a day, the most recent month for which figures are available. The Renewable Fuels Association says domestic producers have the capacity to deliver at least 4.5 billion gallons this year, more than the bump up mandated by the energy legislation.
But the renewable fuels mandate coupled with the phase-out of MTBE and state fuel requirements is expected to produce a need for about 395,000 barrels of ethanol a day, or 6.1 billion gallons in 2006, according to the Energy Department.
Keep in mind the 1.6 billion gallon shortfall, expanded to gallons of fuel represents 16 billion gallons of 10% ethanol fuel which simply cannot be formulated using domestic stocks or supplies, even in a best-case scenario.
Which translates into imported ethanol, which has a tarrif on it, imposed by Congress.
With just a little background info, you see where some of the price problem at the pump is coming from.
Between the Federal fuels taxes and ethanol tarrifs, guess who is digging deeper into your pocket than the oil companies' profit margin?
So true. Democrats (and many Republicans) have been using the tax code for 'social engineering' ever since it was thrust upon us.
Democrats are even using the oil industry as a new Branch of the IRS.
By using the oil/gas industry as a "TAX COLLECTION AGENCY"--the govt reaps incredible windfalls with not only the 20% of the price of a gallon going that they take, but also taking a THIRD of all oil company profits!No wonder the govt wants to obfuscate the issue by blaming the oil companies.
The only reason parts of this nation is experiencing shortages and sudden price spikes is because of the stupid requirement to add 10% Ethanol to all gasoline.
-George Santayana-
Specter must want to bring back the gas lines that resulted from the last time we tried this. What a dope!
>>>"we have allowed"
This is all we need to know about Specter, the candidate that Bush and Rove saved during this last election, supporting Specter rather than the conservative candidate. There might have been a trade, however, in getting his support of conservative Supreme Court judges for helping him win in the Pennsylvania primaries and the election against the Democrat.
Specter is beyond RINO, he's a Democrat in Republican clothing.
$22 a barrel oil equaled $1 gal. gas
$75 a barrel oil is giving us $$3 gal. gas
So a 340% increase in oil has resulted in a 300% increase in gasoline.
Where is the mystery here? Profit is generally tied to the amount of capital that has to be put out.
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