The Proposal for Gas Tax Break by Biden Met with Cool Reception

President Joe Biden announced a call for the suspension of federal gasoline taxes yesterday. This suggested break would extend over a period of three months in an effort to curb the escalating gas prices across the nation. However, this plan was immediately met with resistance, not only from financial experts and legislators who doubted its effectiveness, but also from the oil corporations.

“Ultimately, the issue lies here: The era of electric vehicles is on the horizon. It’s looming in the distance, 10 years ahead, 15 years ahead, 20 years ahead, it’s inevitable,” remarked Bob Yawger, overseeing director of energy future strategies at Mizuho, in an interview with NBC. “So, you’re essentially asking these companies to ramp up their operations as they head towards that inevitable future? It’s a hard sell, especially when they are raking in profits right now after years of decline.”

Biden has been vocal about his lack of support for the oil industry, attributing the ongoing rise in gas prices to them and their substantial profits. In a recent speech, Biden pointed out that Exxon had made “more money than God” due to the surge in profits caused by inflation.

Today, I urged Congress to halt the federal gas tax for three months and advised states to offer similar relief.

Furthermore, I called on oil companies to boost their refining capabilities and for gas stations to pass on the benefits of reduced oil prices to bring down gas costs. pic.twitter.com/Hrk9t3mOuq

— President Biden (@POTUS) June 22, 2022

“Your administration has consistently shown a tendency to fault, and sometimes demonize, our sector,” stated Chevron CEO Michael Wirth in a letter to Biden. “These actions do little to assist in addressing the challenges ahead of us.”

Biden is scheduled to meet with several oil executives today to discuss the proposal. “I am hopeful that they will contribute viable proposals and pragmatic measures in the immediate future,” mentioned Biden on Wednesday. “I am ready to promptly and decisively implement any recommendations that seem sensible to confront the current predicament facing us and the American populace.”