Kyl's "Understand" of our Pain at the Pump

I read Jon Kyl’s May 8 “Weekly Column” where he talks about “Pain at the Pump” and how he feels it necessary to warn us normal folk about politicians who claim they have simple answers to complex problems. “Understanding why gas prices are so high” will show us the right way to go, says Mr. Kyl. That sounds good, but one would be hard-pressed to find a better example of the problem Kyl raises than his own commentary.

Kyl says “(i)nternational events” are the main culprit. That happens to be true, but nowhere in his column does he mention the one “international event” that is the most significant source of higher fuel prices: Iraq. Oil traders have stated there is a $15-20 “security surcharge” on every barrel of crude oil caused directly by the Iraq war. Want to know the price of gasoline at $50 per barrel? According to USA Today, it was $1.92. Maybe the good Senator can explain why Iraq isn’t at the top of his “International events” list.

Kyl argues that increased drilling in Alaska and the Gulf of Mexico would reduce gas prices because it would be U.S. and not imported oil. Talk about a red herring. So Jon, let me get this straight. Oil companies that sell their product at world prices, whom you defend making $20B annual profits and receive federal tax credits you voted for and gave you campaign donations are going to somehow become so patriotic they will lower the price of domestically-produced crude to the level where it is far below world market price and lower prices at the pump? Never mind that we have 3% of the reserves and 50% of the demand. They’ll still lower the price to below market levels so we get cheap gas?

Sure they will.

Kyl talks about eliminating the ethanol requirement while at the same time asking to eliminate the ethanol tariff. If you eliminate the requirement, then why eliminate the tariff because then you won’t need the ethanol in the first place. This doesn’t reduce our dependence on foreign oil, it increases it, using Kyl’s own data, by at least four billion gallons per year.

So, Mr. Kyl’s understanding of our “Pain at the Pump” centers on ignoring the one international event at the source of increase in gas prices, pitching increases in domestic reserves and reducing the need for ethanol while at the same time increasing our demand for foreign oil. That’s some understanding, Mr. Kyl.