Tuesday, May 09, 2006

The High Cost of Gas

I was meaning to rant about the high cost of gas for a while and was finally motivated by Dan Sytman's Show Prep Blog which featured a post about Congress elevates creation of snappy acronyms to fine art which touched on the subject of Senator Maria Cantwell's unbelievable comments and actions regarding gas prices.

First off, to set the record straight, I do not think gas prices are really all that high. When computed based on inflation, they are about where they were in 1981. I think about it like this... I bought my house, which is inside the city of Seattle in the summer of 1993. Since then it has increased in value by a factor of 4. I do not remember gas being 75 cents a gallon in 1993. In addition, I do not think high gas prices are really all that bad as I will explain below. And let me throw this one on top of the last two, about the only reason I am against high gas taxes is just to deny the government additional funds you know they are going to waste on the Robert C Byrd Green Bank Telescope.

In my opinion, the number one issue the United States as a country faces is energy dependence. Relying on countries that are not USA friendly for our energy needs is not a recipe for success. So if I were running the country, the number one agenda item would be to become energy independent and the first thing I would do is open ANWR for drilling. That alone would send a message to the Saudis and Iranians and that two bit dictator in Venezuela that we are serious about doing what we have to do to solve our problem. The next thing I would do is put everything on the table and that includes nuclear energy, raising CAFE standards, looking to renewable resources, everything. All sides need to compromise on this issue. This idea results in the United States controlling its energy future and as an added bonus, we make the oil in the ground under the sand of the Middle East, almost worthless.

But how does this get back to Maria Cantwell you ask... It seems Maria was absent they day they taught logic and thinking at Miami University in Ohio. Her plan for reducing gas costs is to make sure oil companies can not make a profit. Disregard the fact that she raises barriers to reduce the expense of bringing oil products to market at every chance she gets. Drill in ANWR, no way. Oil tankers in Puget Sound, not a chance. Investigate oil companies for excess profits... thats the Cantwell answer. In Maria's bizarro world a company that is fined or additional taxes imposed upon, which of course raises expenses, will reduce its prices in order to...

Of course we are talking about someone who spent over 10 million of her own money for a job that pays about 160K a year. I guess her personal banker never explained to her the concept of certificates of deposit.

And that is why I propose that Senator Cantwell propose the "Realize Energy Targets And Reduce Demand" act.

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