Issue Position: Transportation - Gas Prices

Issue Position

Finally, the issue of skyrocketing fuel prices affects the entire nation, but has been especially difficult for Idahoans. Recently, the national average retail price for unleaded gasoline hit a high of $1.63 per gallon, with Idaho averages even higher. The reasons for this increase are complex, and include production cutbacks by the Organization of Petroleum Exporting Countries (OPEC), new Environmental Protection Agency (EPA) regulations that set new standards for clean-burning fuels, and the possibility of price gouging by petrochemical refiners. A state task force led by Idaho Attorney General Al Lance has investigated this possibility and has made recommendations to the Federal Trade Commission and the U.S. Department of Justice to further investigate the matter as it pertains to Idaho.

In the absence of clear evidence of anti-competitive behavior, Congress has been reluctant to interfere in the workings of the fuel market. One area in which Congress should act to mitigate the effects of the price spikes is by providing relief for those who have been most severely affected: the small trucking companies and independent owner-operators and the shippers who depend on trucking to get their products to market. These are the people whose livelihoods are threatened by increasing fuel prices.

Several legislative proposals are pending before Congress to offer relief from the price hikes. Simply cutting fuel taxes would not accomplish this goal and would have severe negative effects on our nation's transportation infrastructure. I have heard from many Idahoans on this issue, and am considering several alternatives with their comments in mind.

Source