Skip to comments.Expiring Ethanol Credit to Add to Gas Price Jump (4.5 cents more a gallon - North Carolina)
Posted on 12/28/2011 1:39:13 PM PST by Libloather
Expiring Ethanol Credit to Add to Gas Price Jump
POSTED: 9:04 am EST December 28, 2011
RALEIGH -- Lack of action by state lawmakers and Congress is expected to raise gas prices in North Carolina by more than 8 cents a gallon, starting Sunday.
Half of the increase comes from the state. North Carolina's gas tax is linked to the price of gas and is adjusted every six months. Because gas prices have gone up since July, the state tax, which is already one of the highest in the country, is going up by 3.9 cents a gallon on Jan. 1.
House Republicans attempted to cap the gas tax at its current level of 35 cents a gallon during a brief session last month, but the state Senate adjourned before taking up the measure.
The rest of the impending increase is courtesy of Congress.
For decades, the federal government has subsidized ethanol to keep its price down and encourage people to use it. That subsidy cost taxpayers about $6 billion dollars last year, so Congress decided not to renew it.
When the credit runs out Sunday, the ethanol required in a gallon of gas will cost 4.5 cents more.
(Excerpt) Read more at wcti12.com ...
The net price of gasoline is not going to change one whit. What has changed is from which pocket the money comes out of. We now get to see what the real price of gasoline blended with the mandated percentage of ethanol really costs.
Maybe we could go back to MBTE to help with the burn qualities of gasoline as a fuel.
Or, alternatively, we could proceed with converting the entire fleet of automobiles and trucks to burn natural gas. Of course the infrastructure for the distribution of compressed natural gas is not yet in place, but if the economic incentive is great enough (natural gas prices have dropped sharply since new methods of extraction are now being widely used), the change will come almost as fast as the infrastructure can be built, and reliable conversions start coming on the aftermarket.
CNG as a motor fuel beats ANY advantage that could ever be attributed to ethanol-laced gasoline, in whatever ratios. What the heck, even a lot better for Diesel-powered vehicles.
Driving to Myrtle Beach or points south?
Fill up in Virginia and drive right through N. Carolina. Va. gas is about 15-20 cents/gal. cheaper.
S. Carolina is much cheaper heading North.
The previous State Dem legislature tagged the State gas tax to the price of gas. The Repub bunch in there now chickened out on rescinding the increase.
Gas goes up, tax goes up. Make sense?
NC now has one of the highest gas taxes in the Nation.
First it was their raising the taxes on Tobacco and now this?
Tough to turn back 140 years of RAT rule. Next to get the boot - the corrupt RAT governor Bev Perdue (hostess of Hussein's 2012 RAT convention).
I look forward to $5 per gallon gasoline by November 6th of next year because it is the one thing that will spell the end for Ubama.
Ethanol in gasoline engines causes problems that cost a lot more than 4.5 cents a gallon.
The local news had a feature story where a family that had bought a Nissan leaf drove it from Knoxville to Nashville, about 180 miles or about 2.5 hours to drive, stopping at the recharging stations available. It too them well over 4 hours.
We still have plenty of elected idiots from both parties that think putting food in the gas tank is some kind of good idea.