Congress Takes Action Against Rising Gas Prices

The U.S. House of Representatives, responding to citizen complaints about high gas prices, voted yesterday to pass the "Gas Tax Relief Act of 2007". In an effort to lower consumer burden during the summer driving months, Congress has rolled back the 18.4 cents per gallon federal tax on gasoline, and sent a strong message to the individual States whose gasoline taxes are as high as 33 cents per gallon to do the same. If the States were to follow the Federal Government's lead this could mean a reduction in gasoline prices by an average of 40 cents per gallon, with the higher taxed States saving as much as 51 cents per gallon.

If you are wondering why you have not read about the "Gas Tax Relief Act of 2007" in the newspaper, the answer is simple. There is no such legislation being proposed in Congress.

What the House of Representatives voted on yesterday was the "No Oil Producing and Exporting Cartels Act of 2007", or NOPEC. The bill which passed by a 345-72 vote, would revoke the sovereign immunity OPEC members currently enjoy from U.S. legal action and allow the Justice Department to sue them in U.S. courts.

Rather than pass legislation which would have an immediate impact on American consumers, the House decided to pass legislation which would take years to show any results. Unfortunately, this legislation, if passed into law, may actually produce higher gasoline prices if OPEC decides to retaliate by lowering production.

Approximately 40% of our country's oil is provided by OPEC members. It would not be a wise decision to make enemies of them by filing lawsuits in U.S. courts. As an alternative, Congress should be looking for ways to lower America's dependence on OPEC, either through alternative means of energy, or alternative sources of oil.