A state senator from Monroeville has proposed dropping the 31.2¢/gallon gasoline tax to give drivers a break at the pump. On the surface that looks like a good idea. The theory is that loosing that 31¢ would drop the average price to $2.65. However, what always looks good on paper, doesn't translate in reality.
The gasoline tax is what keeps our highways and byways from falling apart. You can make your own jokes here, I'll wait.
Done? OK. PennDOT already has their back against a wall with loosing Federal highway money to mass transit in the two largest cities. Many projects have had to be deferred or canned outright due to this funding situation, loosing the gas tax would be yet another blow.
Prices wouldn't necessarily go down as a result. More than likely, the oil companies would pocket that extra money for themselves.
The problems are speculation and the oil companies. We are a a point where a butterfly sneezes on a pipeline, and the price skyrockets. Why? It's not as if God handed Moses a third tablet with oil prices. Seems to me that gasoline is the only thing in this world that appreciates with value, which makes me want to siphon my tank and sell it back to the station at the higher rate.
The oil companies are pocketing way too much. I'm an ExxonMobil stockholder, and before you call me "money bags," I'll let you in on something. The dividend per stock share is only 27¢! With the way they've been raking in money hand over fist, I and all other stockholders should be retired and living the good life.
PennDOT: Suspending Gas Tax Would Delay Road Projects Without Helping Drivers - Pittsburgh Post-Gazette
