Tuesday, April 25, 2006

Ever Increasing Gas Price


Hey folks,

You know as time goes on, the gas prices go up, my anger goes up as well. I’m not alone by any means. EVERYONE is upset. I have so many thought about this that I could hardly fit them into one article. So this will be an on going, as it has been, series of articles. I still hold very firm on some of my original beliefs, but the more I research this situation, the more some of my beliefs change.

First, FACT. AFVs (Alternative Fuel Vehicles) and Afs themselves, are continuing to be on the rise. More and more companies are working on these. More and more people are buying them. Along with an increase in Motorcycle sales. People are getting to that point where enough is enough. But is some of this anger mis-lead?

Now we have President Bush calling for an investigation. He announced today a series of short-term steps that he said might slightly ease energy prices, including a suspension of government purchases to refill the Strategic Petroleum Reserve and investigations into possible price gouging and price fixing.

I got some bad news for my Republican friends. Them calling for this, is a PROBLEM for them. Here’s why. First, you HAVE to lay some of the blame on the Left. It is THEIR policies that have prevented us from gaining independence from foreign oil. It is THEIR fault, because of their insane environmental mumbo jumbo. That’s a whole other article. But NOW they are calling for the President to do something? Then you have the Republicans, who admit that their power to hold down or reduce gasoline prices was limited. One of the reason for this? How about the fact that the Federal Government makes almost 5 times as much as the oil companies in taxes per gallon. On average the tax across the country is .50 cents a gallon. Who is gouging who Mr. President?

Look folks. I hate the fact that the big oil companies make HUGH windfall profits. But THEY actually GIVE you something. The Federal Government doesn’t. They just take. Big Oil is in this for profit. They can and will cost themselves out of business. But for the Federal Government, me, or anyone else, to put ALL the blame on Big Oil is wrong. Big Oil doesn’t even set the price.

President Bush said today, “Our strategic reserve is sufficiently large enough to guard against any major supply disruption over the next few months,” he said, “So by deferring deposits until the fall we'll leave a little more oil on the market.”adding “Every little bit helps.” How about calling for a state of emergency and remove the Federal tax. Ask all Governors to do the same on the state level. Right there the price would come down .50 cents.

Both sides are playing politics on this one. The Democrats and Liberals have made us handicapped, and dependant on foreign oil, now they are saying, like everything else, this is Bush’s fault. According The Associated Press, Senator Barbara Mikulski of Maryland said, "What happened to Iraq oil, Mr. President? You said Iraqi oil would pay for the war,” she added. “Ain't seen no money. Ain't seen no oil.” Oh yeah, the War was about oil. Wait, no oil? Where’s the oil? Never WAS about the oil. Has nothing to do with the rising prices. Just politics.

What is the answer? My Liberal friends do not want to hear it. But it is true. We NEED to continue to produce and reduce the prices on AFs and AFVs . We NEED to start producing our own oil. Build some more refineries, drill HERE and off the coast. Get out from under the control of foreign oil.

The concept that vehicles are a luxury, and not a necessity, is both incorrect and un-just. When did it become a luxury to be able to drive to the store, beach, your JOB? When did it become a privilege for the rich? A liberal friend of mine says that it IS a luxury. If they cannot afford the increasing gas, let them take the transit. OK. $5.00 each way, 5 days a week for the bus. “Susy”, a single Mother of two, has to spend $50.00 a week, two hundred dollars a month for the bus. Just to go to work? Then you have to add in trips to the store, paying bills, whatever.

The point is, if we could change the classification of vehicles to be necessaries, then we could be talking a whole other issue. Fuel costs could then be regulated better. “Susy” would then be able to cope better with the ever raising costs.

Try as hard as some have, and I’m sure will, to convince me that having your own transportation is a luxury, I truly feel that you MUST see vehicle ownership as a necessity. It’s hard enough for some to make it paycheck to paycheck, not to add to it a never ending rise in cost to get to work and back. Just my honest opinion. With the gap growing between the classes, vehicle ownership should not be seen as one side or the other. It should be for all.

There is no quick solution to this problem. The fault does not lie totally on the door step of Big Oil, the Left, or President Bush. Only together can we solve this problem and make it better for America and ALL who find having a vehicle a necessity.
Peter

3 comments:

Anonymous said...

gas prices vary from region to region for lots of reasons.Taxes are one of them. One county may charge 2 cents a gallon tax and the next one may charge 8 cents. Add that to the federal,state and city tax you have about a third of what you are paying at the pump. Take into account the mining and refining of the gas, the cost of transporting the gas and the pay of the people selling the gas you have a station profit of about 2-5 cents a gallon. The gas stations DO NOT make money on gas! The profit from the store buys the gas that the stores sell. Where they make about 1% to 2% on gas they make 40% to 60% on beer, cigarettes, candy and soda. But noone is freaking out because 2 years ago a gallon of water costs $1.19 and today it costs $1.69. That is 50 cents a gallon with none of the global shit and refining crap to deal with.
just a thought.
Bethany

Peter said...

Good thought Bethany. I agree that there is a lot of different reasons. All the Blame cannot be laid in any one place. I'm out of time. I'll respond to your other comments tomorrow.. Thanks for commenting.
Peter

Anonymous said...

Hey Bethany good points. The oil companies make about an 8% profit margin. Any guess what the various governments make on gas? Our county gets over 25 cents per gallon from gas taxes and provides no value added.

Kind of like big bacci. Love the tax revinue but hate the provider. Humm, is something wrong with that picture?