The Lead: Gas Stimulus Checks
Congress is trying to figure out a way to help Americans pay skyrocketing gas bills. Yet, Congress is still allowing the federal government to subsidize oil and gas companies.
According to the International Monetary Fund, oil and gas companies receive $11 million in subsidies every minute. Think about that for a second when you are told that paying higher prices at the pump is your patriotic duty.
President Biden is in Europe today helping the European Union make a plan to reduce dependency on Russian energy. One proposal includes using American oil instead. So wait? We have enough to sell abroad but not enough to fix price inflation domestically?
One group of lawmakers proposed an energy rebate of $100 per month while average gas prices exceed $4.00 per gallon. That means a tax rebate. Not money in your pocket. You’d still have to shell it out and wait for the rebate in April, meaning you would be issuing the government a no-interest loan of $100 per month.
In California, Governor Gavin Newsom proposed sending each car owner $400 to help pay for tax, although there is no guarantee this passes.
Lawmakers say that taxes on oil companies would help pay for these rebates, which does not make sense when one considers the subsidies mentioned above. It means that the American taxpayer helps the oil and gas companies, and then the oil and gas companies would turn around and pay some of that back to the American taxpayer. It sure does reek of political theater, doesn’t it?