|
Proposed federal law would deal with greedy oil companies |
|
|
Thursday, 08 May 2008 |
By CHRISTOPHER ROY
Express Staff Writer
WASHINGTON D.C. — Sen. Bernie Sanders joined Senate Majority Leader Harry Reid and other U.S. lawmakers in the Consumer-First Energy Act of 2008 introduced in Congress Wednesday. The lawmakers hope that the bill will address the root causes of high gasoline prices.
According to a press release issued by Sanders’ office Wednesday, the
bill calls to impose a 25 percent tax on windfall profits made by major
oil companies. It also calls to eliminate unnecessary tax breaks for
oil and gas companies, suspend strategic petroleum reserve shipments,
punish price-gouging, limit price impacts of excessive speculation, and
authorize action against oil cartels.
All revenue collected would be deposited into an Energy Independence and Security Trust Fund, the press release says.
Sanders said in a telephone press conference Wednesday that over-priced
gas is taking many families “over the edge.” He said one family that
has contacted him has to choose between food, diapers, and heating
fuel. He added that the family tries to keep their young children warm
by using a space heater.
Sanders, who has always been critical of large oil companies that make
large profits, said they are enjoying record-breaking profits at a time
when consumers are having problems filling up their gas tank and
keeping their homes warm.
The senator said oil companies have made $600-billion in profits since
President George W. Bush took office. The tax breaks equaling
$17-billion the oil companies have enjoyed over ten years would be
taken away if the law passes, he said.
The propose legislation would deal with the oil companies’ greed, said Sanders.
Sanders and other lawmakers want Bush to suspend placing oil in the
strategic petroleum reserve that already has 700 million barrels. Bush
wants to add 70,000 to 80,000 barrels a day.
“We think that oil should be left on the market,” he said, adding that
it could drive prices down about two to three cents a gallon.
Sanders is critical of OPEC, describing it as a cartel that exists to
control the production of oil and artificially increase prices.
There is an idea floating around Washington of temporarily suspending
the state and federal gas tax. Sanders said there would be enough money
to suspend the gas tax for six months, decreasing the price of gas by
36 cents. And he opposes Republican Presidential candidate Sen. John
McCain’s approach of taking the taxes away from the federal
transportation fund.
“That would mean a loss of jobs,” said Sanders.
Sanders said suspending the gas tax is only a Band-Aid approach and that there is no simple solution.
In the long term, he said, the United States needs to get away from
fossil fuels and dependence on foreign oil to other sustainable energy
sources.
Sanders said Americans should be driving cars that get 50 to 80 miles per gallon and investing in wind and solar energy sources.
|
|
Last Updated ( Monday, 12 May 2008 )
|
