Thursday, March 05, 2009
The road to "energy independence"
Well, here's what they've come up with so far:
"We don't believe it makes sense to significantly subsidize the production and use of sources of energy (like oil and gas) that are dramatically going to add to our climate change (problem). We don't think that's good economic policy and we think changing those incentives is good for the country," Geithner told the Senate Finance Committee at a hearing on the White House's proposed budget for the 2010 spending year.Fool.
The Obama administration's budget would levy an excise tax on oil and natural gas produced in the Gulf of Mexico, raising $5.3 billion in revenue from 2011 to 2019.
8 Comments:
By 
joated, at
Thu Mar 05, 11:56:00 AM:
And the entire thing omits the other uses for oil. The chemicals, plastics, pharmacuticals, etc. that make our standard of living what it is.
A very short sighted, wrong headed policy indeed.
By Viking Kaj, at
Thu Mar 05, 11:56:00 AM:
We can do it, just give people substantial tax breaks like they did in Germany. It actually occured there way faster than government anticipated.
This just goes to support my argument that the tax code is the most important government instrument for influencing economic behavior.
If they really wanted to jump start the economy they should declare a tax holiday for three months. That would get people spending right away, unlike the the nefarious programs that award cronies and may take up to 15 months, if ever, to work.
By 
, at
Thu Mar 05, 12:34:00 PM:
Pardon my ignorance, but isn't there a difference between subsidizing and taxation? More specifically, how is lack of taxation a subsidy?
By , at
Thu Mar 05, 01:00:00 PM:
Just what we needed next. The Secretary of the Treasury, his deep scientific background at the ready, weighing in on global warming.
If I understand it, he's ok throwing money at failing auto companies that make the cars we all use that run on oil, but he wants to keep a tight rein on the companies that provide the oil the cars run on?
This bizarre government is exactly what I expected from Obama which is why I never expected that the country would elect him.
Last year I asked how long it would take before Obama asked for a Constitutional Convention, you know to correct a few errors of the founding fathers and later well meaning citizens. I'm going to say March 2010.
M.E.
By , at
Thu Mar 05, 02:26:00 PM:
This is government by Ringling Bros. and Geithner is indeed a fool, though not the only one.
By , at
Thu Mar 05, 04:46:00 PM:
Pikers. Only 5.3 billion?
Here's what was introduced in the other Washington:
(For only 4.9 billion)
The industry provides economic stability, but also in the movement of exports brings the risk of harm to Washington's environment, waterways, and roadways. The fuel tax that is paid by the citizens of Washington should be matched by the consumers from other states that are using the same refineries and transportation methods to export the fuel from Washington.
If our li'l ole state can get 4.9 billion, why can't the Feds do better?
By Stan/Tx, at
Thu Mar 05, 06:42:00 PM:
America will spend $350 billion this year on imported oil.
Interior Secretary Ken Salazar canceled 77 Utah oil and gas leases that had gone through seven years of studies, negotiations and land-use planning. In an instant, he eliminated hundreds of jobs, terminated access to vital oil and gas deposits, and deprived taxpayers of millions in lease bonus, rent, royalty and tax revenues. The leases were rejected because temporary drilling operations might be "visible" from several national parks more than a mile away.
According to a 2008 Interior Department inventory of federal energy resources, 163 million acres of public lands are off-limits to oil and gas leasing. Another 65 million acres are severely restricted. 92% of our onshore publicly owned oil and 90% of our onshore natural gas — are off-limits.
At a time when jobs are needed and when the government needs tax revenue, why is the administration doing this? In addition to this policy, the administration is pushing for a hidden carbon tax in the Cap & Trade bill that will drive energy bills higher, especially from coal fired power plants. The Democratic leadership has virtually stopped all funding for nuclear power, a clean, CO2 free energy source. The myth that wind and solar will replace existing forms of energy and provide millions of green jobs does not stand up to any form of reasonable scrutiny.
By , at
Fri Mar 06, 12:50:00 AM:
Can the government break its lease contracts like this? There's no difference between raising the rent in violation of the lease and adding an excise tax.
