Joe Biden officially stated his intention to request a three month gas tax holiday from Congress. The proposal is being seen as an opportunity for Americans to lessen the financial burden that high gasoline prices have on their families, particularly those of middle- or lower income families.
Opponents point out the problem with such holidays.
Nick Arama, my colleague earlier this day pointed out that a gas tax holiday can have a huge impact on the supply and demand. Prices rise when there is more demand and less supply. What would motorists save 18 cents per gallon? The decreasing supply has led to a decrease in the price.
Another issue Nick pointed out was how the energy industry has had to push back against Biden’s rhetoric already.
Meanwhile, Biden is blaming the oil companies for not producing more and threatening them with action. But the folly of all of this is that gas has been going up ever since Biden came into office — in part because he attacked the energy industry. He wants them all to be more productive after demonizing the industry and trying them in. But they can’t turn on a dime and come up with more.
The American Petroleum Institute and American Fuel & Petrochemical Manufacturers sent a joint letter to Biden about a week ago explaining that their refineries are already operating close to their maximum capacity, but that nearly half of the capacity was taken off-line because of the facilities converting to renewable energy production. All the restrictions imposed by government agencies also limit capacity. Biden has decried the inability of refiners to produce more refined products because of the green energy policies they have pushed.
Chevron CEO Michael Wirth also leveled Biden for the instability his approach has caused and said that has to stop if the problems are going to be solved, “[Y]The Administration has often sought to critique and, at times, vilify our industry. These actions are not beneficial to meeting the challenges we face and are not what the American people deserve.”
Biden’s rhetoric against the oil companies and energy sector is just the latest line of attack meant to pass the buck and put the blame for the current crisis on someone else. It was Vladimir Putin’s war against Ukraine that preceded this. After all, it is always possible to rely upon the bad oil companies as a villain for the left.
The gas tax holiday, however, is an attempt to shift blame to Congress. What Biden is proposing is a policy that Congress has to approve, and it’s an attempt to make them responsible for high prices rather than him. This naked political ploy is Biden once again insulting the intelligence of the American people, who are increasingly becoming frustrated with his administration’s policies and antics.
Biden continued his attack on everyone and everything, while claiming that he was not responsible. Now, with the ball in Congress’s court, he will have someone else to blame… except that Democrats currently control both chambers of Congress and any failure to pass this gas tax holiday could potentially backfire and make them look even worse — at a time when they are facing an apocalyptic bloodbath in the impending midterms.
The Biden administration sees that a gas tax holiday polls well as an idea, so they’re going to go with it. However, ideas are always popular. The Democrats and Biden will be hurt by the truth of this policy, and its effects. If it wasn’t obvious before, it should be obvious now: Governing by reacting and in response to polling doesn’t work.
He will hurt Democrats by trying to give the blame to Congress. He isn’t solving any actual problems with this speech. He’s just trying to get it off his plate ASAP.
Now that’s leadership.
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