High Gas Prices
Mr. Speaker, as we well know, the rising cost of gasoline is a burden on hard-working families and on small businesses across the country. Recently, the price of crude oil hit the historic high of $75 a barrel. The average price of…
Mr. Speaker, as we well know, the rising cost of gasoline is a burden on hard-working families and on small businesses across the country.
Recently, the price of crude oil hit the historic high of $75 a barrel. The average price of gasoline is now a whopping $2.92 cents a gallon, and it shows no sign of dropping before the busy summer travel season.
While much of this is the result of increasing demand generated by our growing economy and increased instability in Iran and other oil- producing countries, Congress has a duty to take action.
Some in Congress like to play politics on this issue. The American people don't want cheap political games and stunts. They want and deserve solutions.
We provided good solutions in the strong conservation and renewable energy titles of the energy bill that we passed last year. Had it not been for political gamesmanship, these measures, which languished in Congress for 4 years after we passed it in the House, would already be reducing gas prices with more hybrid and E85 ethanol cars on the road and more biofuels to fuel them.
Instead, these policies are just being implemented now. Over time, I believe that last year's energy bill will help bring down the cost of energy for consumers, but, in the meantime, we must do more.
Last year, in the House, we passed the Gas Act that would not only streamline the process of expanding refineries but also provide, for the first time, a Federal criminal penalty for price gouging in gasoline or diesel fuel cells.
Additionally, Mr. Speaker, we ought to stop giving tax incentives to big oil and gas producers when they are already reporting record profits. That is why last year I introduced legislation with Congressman Mark Udall to redirect $2.5 billion in tax incentives away from the oil and gas companies, instead put it towards doubling incentives for E85 ethanol, hybrid and hydrogen vehicle production.
Renewable fuels are the key to our energy independence and to freeing drivers from the high cost of imported oil. We need only look to my home State of Minnesota, which has been leading the Nation in developing renewable fuels. Minnesota was the first state to require ethanol be sold in all gasoline and has been instrumental in the development of E85 fueling stations, with over 100 such stations throughout the State.
Mr. Speaker, the proof is at the pump. These policies have resulted in Minnesota gas prices being amongst the lowest in the country. It is common in Minnesota to see E85 being sold for 50 cents less than regular gasoline.
These savings should be enjoyed nationwide, which is why I am pleased to be an original cosponsor of H.R. 4357, which was introduced last year by my fellow Minnesotan Congressman Gutknecht. This bill would require that our country adopt Minnesota's model that all gasoline should contain 10 percent renewable fuels.
We must get beyond the partisanship and obstruction that is blocking these additional measures. We have now waited for a year. We cannot afford to wait for 4 years. We must act now.
But we also must, in the meantime, make sure that the high gas prices don't destroy the strong economic growth that is providing jobs to so many. One of the first things we should do is a temporary suspension of the Federal gas tax. Suspending the gas tax will produce an immediate 18.4 cent per gallon savings for motorists when they fill up their tanks. That is why I will be introducing legislation to suspend the Federal gas tax throughout the summer driving season.
Highway trust fund revenue lost from this temporary suspension would be paid back and the fund made whole by fixing an oversight that has allowed some oil and gas companies to escape paying what they owe under the law to the Treasury. Unlike other measures, we can do this now, providing immediate relief to drivers hurting at the pump.
Mr. Speaker, high gas prices hurt American families and threaten our growing economy. We have a duty to respond. Let's stop the politics and get to work.