Supply and demand and executive business decisions have led to high gas prices.
We currently have a Representative intent on dividing us against each other for political gain, claiming worldwide increases of petroleum were caused by US Democratic policies. It's intellectually dishonest. A contribution from you today will help me replace him, and tackle real problems with facts, not a fantastical blame game.
We have a decreased domestic and worldwide supply of crude oil.
US oil companies haven't resumed pre-pandemic production secondary to:
Paying more dividends back to investors from the profits vs. investment
Executives fear that anticipated stricter environmental rules and 'going green' would cut profits, so they're not replacing aging refiners and other infrastructure that have been taken offline. It would take decades to recoup the cost.
There is less oil and gas from other OPEC sources and its allies as they agreed to maintain current production, supporting higher prices for more profit.
The industry is experiencing a lack of workers and materials needed to create additional refiners, and it takes years to build. It doesn't happen overnight.
Russia's invasion of Ukraine and the response from the West to defend Democracy is worsening the issue.
Increased Demand
Lifting of COVID shutdowns is increasing demand worldwide, especially in the USA.
Consumers will likely continue seeing record gas prices this summer.
EU's plan to ban Russian oil will crimp already shallow supplies.
China's demand will rise as it emerges from COVID lockdowns.
What can we do? In order to act, we must understand the issue and move forward. Name-calling and blaming don't address the problems. Even without the Russia-Ukraine war, the prices were going up, and they surged afterward. Americans should have been told that before it happened.
We need a sound energy business plan to guide us all in the future. We need long-term energy plans, and to do it, we need to understand and solve our national problems based on real issues, not made-up fantasies.
Possible solutions:
Temporarily eliminating gas taxes could save around 25 - 90 cents per gallon.
Opening up more reserves could increase supply.
Temporarily waiving summer gas blends could save up to 15 cents per gallon.
Revisiting the ethanol mandate that increased gas prices for negligible environmental benefits could save at the pump.
Preventing price gouging protects consumers and builds trust between suppliers.
Transforming the economy to electric energy will keep us focused on mitigating climate change and reducing dependence on foreign oil.
I support industry, energy, and the environment, and I also support capitalism and its deserved reasonable profits.
During this extreme crisis, the burden cannot fall only on those paying at the pump. Blaming gas prices on the political party in power — no matter which one — is intellectually dishonest. It's convenient and politically expedient, but it's not based in reality.
This is our future. Together we will create a better place. But, separately or fighting against each other, we all will lose. Let's find a win-win-win plan with businesses, energy, and the environment.
