Drop the price of gas at the pump now

Thought for the day

Kiplinger recently reported a federal gas tax holiday seems unlikely. That's because it wouldn't save people much money.  Case in point:  For someone who drives 12,000 miles a year, in a car that averages 25 miles per gallon, the savings would be approximately $55 if the gas tax was suspended through the end of 2022.  The flip side of this equation is the loss of tax revenue (estimated to be nearly $15 billion). That's money that wouldn't be available for road repairs or other infrastructure projects. 

There also is concern the current bill in Congress has no teeth.  Here's how the bill reads in part:  "It is the 'policy of Congress' that consumers immediately receive the benefit of the reduction in taxes" and that "transportation motor fuels producers and other dealers take such actions as necessary to reduce transportation motor fuels prices to reflect such reduction."  All this gibberish makes me wonder if consumers ever will see a reduction in the price of gas at the pump?

I've said it before and I'll say it again:  President Biden needs to convene a gas summit at Camp David with the CEOs of the five biggest oil companies.  He needs to lock them in a room until they agree to an immediate $1.50 to $2.00 per gallon reduction in the price of gas at the pump.  Not possible you say?  Of course it is.  Shell, Cevron, ExxonMobil, BP, and ConocoPhillips made a combined profit of $35 billion in the first quarter of 2022.  With gas costing $5 to almost $8 a gallon now, I'm guessing their second quarter profits will be even higher.

Growing up in the 1950s and '60s, my heroes were Willie Mays, Pete Ueberroth, Congressman Don Edwards and my two older brothers.  Today, I'd be willing to add the names of the five oil executives to my list of heroes as soon as they drop the price of gas at the pump.

-DF