SEARCH BLOG: OIL and ENERGY
I get emails from various politicians. They have issues. They have plans. They want to know your opinion... or maybe just want you to think they want your opinions... hard to say. This one was just received and elicited a response. I'll not embarrass the sender by including a name.
April 11, 2012
While oil companies are making record profits – the five biggest took home more than $137 billion in profits last year – the rest of us are paying more at the pump.
It doesn’t make sense. We’re at an eight-year high in domestic oil production, and domestic demand for oil and oil products is down. That means supply is high, demand is low, but we’re still stuck with high prices at the pump. So what do we do?
I’ve got some ideas, and I want to hear yours. Like many Ohioans, I’m tired of the stranglehold oil companies have on our national energy policy. And like many Ohioans, I believe we need to take a “do it all” approach to reducing gas prices.
Please tell me which of these actions you support to reduce gas prices:
Do you feel that these actions are important?
No 1. Crack Down on Speculation: Prevent Wall Street speculators from driving up the price at the pump. A recent report found that excessive speculation adds $0.56 to every gallon of gas you put in your car.
2. Drill it Here, Keep it Here: If oil companies produce oil on public lands in the U.S., then it should stay here. No longer should oil companies export our own oil overseas, when we need it here at home.
3. Cut Wasteful Subsidies for Big Oil: End wasteful tax giveaways for Big Oil and use the savings to break the stranglehold Big Oil has on consumers by investing in clean energy.
4. Improve Fuel Efficiency of Cars and Trucks: Increase fuel-efficiency standards for vehicles so that consumers get more miles per gallon and spend less on gasoline
5. End Oil Cartels: Give the U.S. the authority to go after oil-producing nations, like the members of OPEC, that band together to drive up the price of oil.
6. Tap America’s Oil Reserve: Open the Strategic Petroleum reserve to increase domestic oil supply and lower prices.
No one likes to see $4 per gallon oil. Well, almost no one. But this is an energy policy issue, not an issue about oil companies profits.
Mark J. Perry, University of Michigan - Flint economist asks:
The U.S. has the wherewithal to affect the worldwide price of oil as shown by the mere threat of releasing some of its oil reserves. But that is and always has been a temporary measure. A longer term solution is an energy policy, along with supporting legislation, that allows expansion of the supply side. I'm sure you are well aware of the impact that shale natural gas has had on worldwide supplies and prices... and where is "speculation" regarding natural gas? Often our laws have just the opposite impact and increase the cost of petroleum products. Here is something you can actually do to impact the cost of gasoline... and food on our tables:
christopherhelman/2012/04/03/ ethanol-minus-the-corn-it- could-fuel-america-if-it- werent-illegal/
Sabre rattling at strawmen... or oil companies... is just counter-productive.
I really liked the one about End Oil Cartels.
Okay, do that.