Gas at $6 per gallon? Get ready.

[whopis01]

Source: Atlanta Journal-Constitution

The Senate bill, grandiosely and falsely dubbed the Renewable Fuels, Consumer Protection and Energy Efficiency Act of 2007, should come with a section prohibiting price gouging — by Congress. The legislation “could result in significantly higher prices for gasoline consumers,” according to Heritage Foundation researchers. “A review of S. 1419, including the just-completed section on tax changes, reveals that the bill could increase the price of regular unleaded gasoline from $3.14 per gallon (the early May national average) to $6.40 in 2016 — a 104 percent increase,” write Heritage Foundation researchers William W. Beach and Shanea Watkins.

“Gas consumers can expect to pay between $3.16 and $3.79 a gallon for gas in 2008 after adding in the estimated impact of the Senate energy bill. By 2016, all states can expect gas prices in excess of $6. As a result of S. 1419, consumers would spend an average of $1445 more per year on gasoline in 2016 than in 2008,” they write.

With the the concurrence of the ranking Republican on the Senate Finance Committee, Charles Grassley of Iowa, and others (Gordon Smith of Oregon, Olympia Snowe of Maine and Pat Roberts of Kansas, all Republican), the committee is proposing $29 billion in new taxes on oil companies. The tax is to subsidize wind and solar power, hybrid vehicles and biofuel. The bill calls for a sharp increase in the use “renewables,” including heavily-subsidized ethanol, up from 8.5 billion gallons next year to 36 billion gallons by 2022. And it requires, too, that utilities would be required to buy at least 15 percent of their energy from wind, solar and other “renewable” sources.

Ethanol requires more energy to produce than it generates as fuel, to say nothing of the water required for irrigation in areas like drought-stricken South Georgia. It’s subsidized by taxpayers with a 51-cents per gallon tax credit, and it’s subsidized again at the pump with a 54-cents-a-gallon tariff on imported ethanol.

Read more: http://www.ajc.com/opinion/content/shared-blogs/ajc/thinkingright/entries/2007/06/21/gas_at_6_per_gallon_get_ready.html

[MNDemNY]

1. That will cut down consumption.

[loudsue]

3. It will also mean that those millions on minimum wage will starve.

The fees for mass transit will go up, and that is the main method of transportation used by those on minimum wage, since they can't afford a car. If the minimum wage isn't increased to pay for higher fuel (transportation) costs, there will be no way for many people to get to work.

The poor are TOTALLY being left out of the "american dream" shit. Theirs has turned to a nightmare from which they can never awaken.

:kick:

[kestrel91316]

16. The poor will ride bicycles. That will have the added benefit of

keeping their numbers down in the long run, as the rich in their giant SUVs run them down.

[pokercat999]

30. You forget something; some day the Democrats will take

back the House and Senate, then things will be much better, especially for the poor and minorities.


I don't really need this :sarcasm: .......do I?

[whopis01]

34. no, you don't need it... our elected officials already added plenty... n/t

[Phredicles]

2. I'm not sure how credible a source the Heritage Foundation is,

and this looks like the old reliable "The only reason gas prices are so high is those darn taxes and environmental regulations; obscene profiteering and executive salaries have nothing to do with it" spin.

[Warpy]

4. Also nothing to see here, move along

Mothballing refineries so that artificial shortages of refined products are created.

The fall in the dollar due to Republic bungling.

The probability that the entire Middle East will destabilize, again due to Republic bungling.

[RedEarth]

6. I agree.... once I saw Heritage Foundation up went a red flag

[Doctor_J]

5. If Heritage is against it, I am probably for it

Don't we already subsidize the oil companies? Is the alternative more genocide in the ME? Where do the Heritage fellows think the fuel for their Humvees is going to come from in 2016? 2026?

"this study was paid for in part by a generous grant from the Exxon-Mobil Corp"

[trashcanistanista]

8. It is more than likely

that even without the bill, gas would go up anyway. It has already gone up markedly over the last six years despite the record breaking profits. Yeah, Heritage Foundation? Consider the source.

[Iris]

18. "gas would go up anyway" right but now they've got something out there to frame the discussion

so that gov't. and regulations are blamed.

[RaleighNCDUer]

7. Look at your source --

I know, your direct source is the Atlanta Journal-Constitution, but THEIR source is the Heritage Foundation. Their idea of research is to start with a conclusion and work back to find any and all statistics to support that conclusion, disregarding any that counter or conflict with their chosen conclusion.

[Iris]

19. Actually, the column is by a known conservative - Jim Wooten.

He probably has wet dreams about being a researcher for the heritage foundation.

Gas at $6 per gallon? Get ready.

By Jim Wooten | Thursday, June 21, 2007, 08:15 AM

The Atlanta Journal-Constitution

Get ready for Congress to solve the energy problem just as it has previously solved the illegal immigration problem. A bill being debated in the Senate this week is described by some of its supporters as “far from perfect” but “a good start.”

http://www.ajc.com/opinion/content/shared-blogs/ajc/thinkingright/entries/2007/06/21/gas_at_6_per_gallon_get_ready.html

[The_Casual_Observer]

9. HF is griping about taxes, they don't care about what effect

this would have on the middle class or poor people.

[redqueen]

10. price gouging by congress?

oil corps have enjoyed record profits qoq, yoy, for HOW LONG NOW?

the NERVE of that douche! :grr:

[Nickster]

11. So we are now taking for granted that the "base" price of a gallon of gas is now 3 dollars?

I didn't see any hand-wringing like this while we faced a 300% explosion in the price of gas because of "market forces".

Heck pay 3.16 to 3.79 in 2008 AND get funding for alternative fuels? Sounds like a discount to me, I'm paying 3.29 a gallon right now with no end in sight. They are also assuming that everything stays the same between 2008 and 2016. I'd hope that by 2016 we'd be out of the Middle East, that'll shave 10-15 dollars right off the top of the cost of a barrel of oil, that'll effect the cost of gasoline as well.

[whopis01]

33. that's what this is all about

To get us to reset our baseline and drop to our knees thanking the oil companies for allowing us to buy gas for only $3.00 a gallon.

[bemildred]

12. This is a wildly optimistic prediction.

Only a 100% rise in 9 years? Do these twits know what gas cost in 1998?
:rofl:

[villager]

13. so... the Heritage Foundation is blaming the government for high oil prices?

Right. Wouldn't want to go after the oil companies themselves.

[Iris]

17. Yep. I stopped reading as soon as I saw "Heritage Foundation researchers William W. Beach and..."

write Heritage Foundation researchers William W. Beach and Shanea Watkins.

[gravity]

14. They are talking out of their ass

No one knows what the price of gas will do in 10 years. Anyone who says otherwise, is full of shit.

[havocmom]

15. Wouldn't mind the prices - IF, like in Europe, a huge chunk goes to taxes to fund programs

for PEOPLE!

That said, higher prices at pump = higher food prices and that hurts the poor and working poor hardest. Something has to be done tho assuage that hit.

Oh, and plant a garden if at all possible. Consider working to promote community gardens in urban areas. Teach kids how to grow some of what they eat and you teach them they DO NOT have to take the corporate word that there is nothing they can do to change the power structure! Indeed, the corporations know individuals growing food independently of their entities is about the last hurdle to world domination. They are working hard to patent all seeds so farmers have to be consumers.

Teach others how to raise food!

[PurityOfEssence]

20. Great. So all gas price problems will be the fault of the Democrats

Well, it looks like the oil companies are truly above the law. They'll do as they please and make obscene profits, and if anyone tries to do anything about it, they'll raise prices and blame the liberals.

Of course, we can't have a profit cap, that'd be un-American. Thou shalt be free to gouge as thou pleaseth.

[Iris]

21. What else can you expect from a column called "Thinking Right"? n/t

[denverbill]

22. I thought price was determined by supply and demand.

Unless oil companies can set the price for gas somehow, how would they be able to increase gas prices to pay for these tax increases?

Either they are an illegal cartel which is manipulating the price of oil, or this tax should have no impact.

[whopis01]

32. yeah, your supply of money and big oil's demand for it... n/t

[WannaJumpMyScooter]

23. we have already had more than

a 100% increase in price in less time, and it has done squat to demand.

[truthisfreedom]

24. OPINION piece... this is NOT LBN!

[Iris]

25. It is also comes from a column called "Thinking Right" and

there's not comment from the original poster.

Something stinks.

[endarkenment]

26. according to Heritage Foundation researchers

say no more.

[endarkenment]

27. Uh - this is not news. nt.

[HooptieWagon]

28. Considering the source

I'd say this is Big-Oil's "Mein Kampt" moment. It is not a warning that gas MAY rise to $6... it's stating their intention that gas WILL rise to $6...

How to counter that? IMO - windfall profits tax to pay down war debt; increase the gas tax to discourage consumption and fund mass transit, renewable sources, and energy research; stabilize the ME; make nice with Venezuela; cut ethanol tariff and buy from Brazil and Caribbean countries; that would work for starters.

[whopis01]

31. exactly my thought. n/t

[AndyTiedye]

29. Just Because the HERITAGE FOUNDATION Says This Would Double Gas Prices, Does Not Make It So!

The oil companies don't want to pay more taxes, so they are having their shills print stuff like this.

[whopis01]

35. Either that or when they double the prices on their own

they can blame it on taxes and say 'we told you so'

[Gravel2008]

36. Yeah, so? What's wrong with $6 per gallon?

I only see one thing wrong with it: It's still too cheap!

$6 gas has been reality in Europe for some time now; in fact I think they're already closer to $7 in places. And many European Green Parties want the price raised to at least $10. The price of gas is WAY too low in America today - if we are serious about drastically lowering consumption and a shift to alternate energy then we should bring our prices up to the European level, starting NOW. People who want cheaper fossil fuels sound a wee bit too much like republicons for my taste, and I can't believe there are so many on DU.