Five-Point Plan for Lower Gas Prices

Five-Point Plan for Lower Gas Prices
By Rep. Shelley Moore Capito

There's no doubt about it, high gasoline prices are inflicting a painful burden on West Virginia families. Wherever I go in West Virginia, people will invariably say, "Do something about these gas prices." In recognition of this situation, the House of Representatives acted on the first point of a five-point plan I outlined earlier this week to bring relief at the gas pump.

The first step in my plan was to ban price gouging. The Federal Energy Price Protection Act, which just passed the House with my support, directs the Federal Trade Commission (FTC) to uniformly define "price gouging." As it stands now, state statutes have vastly different definitions and interpretations of gouging. In addition, this legislation would provide for strong civil enforcement by the FTC and by states' attorneys general and criminal enforcement by the U.S. attorney general and Department of Justice.

The bottom line is that the House-passed bill promises that anyone caught running up the price on gasoline, diesel fuel, or home heating oil will be met with strong enforcement and stiff penalties.

There is more we should do to lower gas prices. As I outlined in my five-point plan, the federal government should temporarily waive boutique fuel regulations. Current law mandates that certain blends of gasoline be used in different regions of our country. These regulations strain distribution and limit supply, driving up prices for consumers. In 2004, I voted to ease these regulations. Now is the time for Congress to follow through.

The third point in my plan is to temporarily waive the tariff on ethanol imports. I am currently a cosponsor of the Ethanol Tax Relief Act, a bill that would waive the ethanol tariff. Right now, a 54 cent per gallon tariff is placed on all imported ethanol. As MTBE and other fuel additives are phased out of gasoline production, ethanol demand is skyrocketing, supply is not meeting demand, and it is causing higher gas prices.

We must also utilize West Virginia coal. West Virginia's abundant coal reserves could play an important role in reducing gasoline prices. The government has long supported the research and development of coal liquefaction facilities that convert coal into gasoline. It is time to build a liquefaction facility which would increase our fuel supply while creating jobs for West Virginians.

Last but not least, we need to reduce our dependence on Middle Eastern oil by expanding domestic energy exploration in the Arctic National Wildlife Refuge (ANWR) and the Outer Continental Shelf. Environmentally safe exploration of ANWR and the Outer Continental Shelf will increase our domestic supply of oil and natural gas. I have already co-sponsored legislation that would give all coastal states the option to allow oil and natural gas exploration off their shores, and I voted four times to open a small portion of ANWR to oil exploration.

I will not relent in advocating for immediate relief to West Virginians at the pump. These are steps that ought to be taken immediately to ease the burden on West Virginians' pocketbooks.

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