With gas prices rising every day, Americans are reeling at the pump as hard-earned money is reeled out of their pockets by what has become a one-armed bandit: the gas pump.
While many Americans feel the run up of gas prices is a crime of sorts, …
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With gas prices rising every day, Americans are reeling at the pump as hard-earned money is reeled out of their pockets by what has become a one-armed bandit: the gas pump.
While many Americans feel the run up of gas prices is a crime of sorts, more important is the growing realization that what is happening is not a victimless crime. When it comes to gasoline, almost everyone must return to the scene of the crime … again and again.
Last week in my column “What's really behind high gas prices," I discussed the impact that gas taxes have on the price you must pay at the pump. In that column I asked readers the question: “Should the federal gas tax - currently at 18.4 cents per gallon - be cancelled; cut by half; or suspended for 12 months?”
Those readers who voted online were overwhelmingly in favor of cancelling or reducing the 18.4-cent per gallon share of gas taxes currently taken by federal government.
More than half - 54 percent - want the federal gas tax permanently removed; 19 percent want it suspended for at least one year; 20 percent prefer reducing it by half; while only 7 percent of the 535 participants who cast votes think it should be retained as is.
Hmm … could there be karma at work with the coincident respondent count: 535? I'll get to that in a bit.
First, let’s drill down into the core question:
“Why are gasoline prices up again; and, likely to go even higher?
Is it financial speculators? They do have an impact. But no, speculators are not the core issue.
Is it foreign oil producing countries? They do control production. But no, foreign oil producers are not the core issue.
Is it the OPEC group? They do manipulate oil prices by controlling aggregate oil exports. But no, OPEC is not the core issue.
Is it domestic oil refining companies? They do insist on wholesaling refined products at prices higher than refining costs. But no, domestic oil refining companies are not the core issue.
Is it retail outlets? They do insist on providing finished product (gasoline, home heating oil, etc.) in domestic retail markets at prices higher than wholesale costs. But, no, retail outlets are not the core issue.
So, what is the core problem?
Everyone knows the answer and it’s not “they,” it is "we. As in the United States.
Simply put, we have not produced enough domestic oil.
What can we do to begin to fix the problem? Everyone knows that answer too:
Open up each of the 50 states and territories, including coastlines, to domestic oil exploration, drilling, refining and storage.
In order to jump start the process for each oil production segment we need to establish a 40-day permitting process - joint state and federal - for American owned companies to start or expand domestic operations in one or more of the oil segments. We also need to set up expedited review by the judiciary for suits brought to hinder the permit process.
Are there other things to consider? Perhaps; but we should keep in mind that is what activates the political merry-go-round, which is why we are in this predicament.
That said, I welcome your input: ideas, suggestions and obstacles we can anticipate.
Now, back to the coincident count of “535 votes” cast in the federal gas tax poll.
Is “karma” at work? I don’t know, but I do know this:
There are 535 votes in the Congress.
If each elected member of the U.S. House and Senate voted their conscience, then “karma” just might be at work to set things right by jump starting domestic oil production.
Visit to answer this week’s poll question, “Should the U. S. immediately increase domestic oil exploration and drilling?"
Richard Olivastro is president of Olivastro Communications and founder of Citizens for Change. A professional member of the National Speakers Association, he is available pro bono for charitable fundraisers and public forums and can be reached via e-mail at RichOlivastro@gmail.com or by phone at 1-877-RichSpeaks.