Stop laughing, I mean it.
We are wanting real solutions and not just rhetoric, right? Good. Now, lets calm down and take a good hard look at what is being done in Washington to help America regarding high fuel prices.
Haystack over at Redstate.com posts a graphic as provided by Roy Blunt’s office which puts the entire situation in black and white. Whether its launching investigations or proposing 20 billion in tax increases on oil producers - none of the Democrat solutions help joe six pack or andy b. small business owner. We should not be suprised given Barack Obama’s latest answer in that he is not opposed to higher gas prices.
What people should be looking at, however, are market based solutions which attempt to create downward pressure on speculators. Only then can we look to providing energy independence and re-ignite one of the core elements of our economic engine.
To be clear, yes, I support new regulations on commodity fund trading which would require those speculating to pay the same level as other areas of the market.
However this does not deminish the savings which Republican proposals would make upon energy prices.
Lets compare the two, shall we?
Democrat proposals:
- Sue Opec. (Hmm.. cant see any savings there - nothing like making the main supplier of your energy supplies mad as a hornet)
- Launch investigation into price gouging. (Cant remember that doing any good in the past)
- Launch investigation into speculators. (Again, show me the results of these investigations as being positive substance)
- 20 billion in new taxes on oil producers (Hm. Call me stupid, but I could see those new taxes getting passed on to customers).
- Halt shipments to Strategic Reserves (Five cents estimated).
So whats the total? five cents. Thats it. That is all the downward pressure Democrat propsals make.
Whats worse, I believe, is that the blocking of off shore drilling by Demcrats encourages speculators to believe in “peak oil” or other theories which drive prices higher. Much higher. So instead of causing downward pressure on the market, I would argue that Democrats are forcing the market upward by disallowing supplies to increase.
Republican proposals:
- Bring onshore online (This includes ANWR and all that oil shale out in colorado - which is estimated to be at or about the same reserves as Saudi Arabia)
- Bring deepwater drilling on line (This is off the contential shelf - not within shouting distances of our costal cities and water ways).
- Bring new refineries on line (None in thirty years because of extensive regulations and red tape. This reduces the production bottle neck)
- Cut earmarks to fund gas tax holiday (Roy Blunt proposed this a few weeks ago - it would equate to 18 cents. Note that Senator Obama does not want this because he claims it would increase use of oil. In short, lowering prices would cause higher prices because of a lower supply. Hm. Think drilling would add to that supply? Sorta backwards thinking if you ask me)
- Halt shipments to strategic reserves (Like Democrat proposal - five cents).
In all it is estimated that Republican proposals would drop gas prices by two dollars a gallon.
Yes, when I say saving two dollars a gallon I am using Blunt’s numbers. More importantly, though, is the use of market principles to create downward pressure on speculators - forcing them to sell because of the excess inventory on the market. This should burst the bubble.
More importantly, however, I would note of the significant jump of oil resources from within our own borders. This would significantly boost our nation’s independence on foriegn oil.
What I personally fail to understand about the Democrat position is why they (Democrats) would seek to continue a way of life which impedes our nation’s best interest both from the prespective of national and economic security. It makes no since to “cuddle a Caraboo” as one reporter put it, while dictators prey upon our need for energy.
Then again, a lot of things dont make sense to me when it comes to the issue. Only time will tell if common sense prevails. It isn’t looking great at this point.
One bright spot is Senator McCain’s call to end the ban on off shore drilling and the current press by Republicans in Congress.