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GOP To Raise Taxes 85%

The House just passed an energy bill that gave away more of our taxpayer dollars to the energy industry than even President Bush wanted.

I actually like what I hear from President Bush on the subject, and if I believe he’s truly interested in solving the country’s energy problems rather than lining pockets in the oil industry, then I can only come to the conclusion that he has no idea what the energy bill actually does.

Urging passage of the bill, President Bush said,

"Over the past decade, America's energy consumption has increased by more than 12 percent, yet our domestic production has increased by less than one-half of 1 percent. That means that our nation is more and more reliant on foreign sources of energy.

At the same time, the global demand for energy is growing faster than the global supply, which has contributed to a steep rise in the price of crude oil, which is the feed stock for gasoline.

...Our dependence on foreign energy is like a foreign tax on the American Dream -- the tax our citizens pay every day in higher gas prices, higher cost to heat and cool their homes -- a tax on jobs. Worst of all, it's a tax increasing every year."

As a piece of rhetoric, I can't fault it at all. Unfortunately, the energy bill doesn't solve our supply problem in the short term OR the long term.

As far as domestic oil production goes, drilling in the ANWR only reduces our dependency on foreign oil by 4%. New coastal drilling helps just a little more. The hard fact is, the United States is sitting on less than 3% of total global oil reserves. Unless you count Iraq, we're not going to drill our way to energy independence.

But the bill does help increase supplies in one way: It subsidizes foreign oil exploration by US oil companies. According to a report from the Bush administration's Energy Information Administration, the bill will increase our supplies of foreign oil by 85%. If, as President Bush says, "our dependence on foreign energy is like a foreign tax on the American Dream," then this bill raises our taxes by 85%.

Contact your Senators and tell them to scrap this crappy bill, and come up with a plan that really reduces our dependence on foreign oil.

Posted by American Pundit at April 22, 2005 3:05 AM