House approves anti-OPEC bill By JOSEF HEBERT, Associated Press WriterTue May 22, 5:04 PM ET Decrying near-record high gasoline prices, the House voted Tuesday to allow the government to sue OPEC over oil production quotas. The White House objected, saying that might disrupt supplies and lead to even higher costs at the pump. The Organization of Petroleum Exporting Countries is the cartel that accounts for 40 percent of the world's oil production. "We don't have to stand by and watch OPEC dictate the price of gas," Judiciary Committee Chairman John Conyers (news, bio, voting record), D-Mich., the bill's chief sponsor, declared, reflecting the frustration lawmakers have felt over their inability to address people's worries about high summer fuel costs. The measure passed 345-72. A similar bill awaits action in the Senate. Separtely at a House hearing, lawmakers were told that crude oil prices have played a relatively minor role in the sharp increase in gasoline costs over the last three months, putting the blame on lower gasoline imports, refinery outages and continuing growth in demand from motorists. Gasoline prices "may ease somewhat," Guy Caruso, chief of the Energy Department's statistical agency, told the House Energy and Commerce investigations subcommittee. But he said pressure on gas prices will remain strong "with the hurricane season approaching, continued tight refinery conditions, low gas inventories and increased demand for summer travel." Nevertheless, the House felt it was important to take on OPEC, the major player in oil production. Member states of OPEC late last year cut production by 1.1 million barrels a day to counter what had been a buildup of world oil stocks. Conyers accused the OPEC engaging in a "price fixing conspiracy" that has "unfairly driven up the price" of crude oil and, in turn gasoline. His measure would change antitrust laws so that the Justice Department can sue OPEC member countries for price-fixing, and would remove the immunity given a sovereign state against such lawsuits. But the White House said such suits could spawn retaliatory measures by oil-producing countries and "lead to oil supply disruptions and an escalation in the price of gasoline, natural gas, home heating oil." The administration urged "diplomatic efforts ... rather than lawsuits in U.S. courts" to address global oil production. The White House said President Bush would be advised to veto the measure if Congress passed it. Rep. Steve Chabot (news, bio, voting record), R-Ohio, said he was "very disappointed" by the president's opposition. "If gasoline prices remain this high it is going to have a significant impact on the economy."
Gasoline prices are going higher. In a world freaked out by CO2's and "global warming" there's no international lobby crying over the polluting American motorist. There's really no political consensus either. That's why nothing is ever done about energy. For years prices were extraordinarily cheap- hence no protest. Even now with high prices demand is increasing. Urban America is not car dependant. Hell New York has 4.5 million subway riders each day so they don't care about gasoline prices. Suburban America is flush with $$$ so they don't care either. The only people caught are the sliver of middle class folks who commute long distances to shit jobs or those in businesses dependant on driving. It'll take $5 gasoline before there's real conservation and demand for Hybrid's.
Pretty idiotic to think people in rural areas are not impacted by higher gasoline costs. How the hell do you think they get the shit they buy, like food, clothing, etc? You think it comes in by steam engine trains, the Pony Express? Higher gas prices lifts all boats... Corporate America doesn't care as long as they can pass the cost along, and when they can't, then the reality dawns...stagflation.
Can you imagine what $600 billion of sunk cost and 3 trillion of contingent liabilities would have bought? We could have had a hydrogen filling station every 20ft for 3000 miles across this country. The OPEC/Arab problem vanishes for good into a distant memory. Bush will easily go down as the worst/dumbest/most incompetent president since Grant....maybe forever.
Outside of business (and grain prices are up as much as oil) rural folks don't drive excessively. Do you think people drive into town daily for stuff? Only 10 million American's drive an hour or more to work. That's not a significant lobby. In most major cities where it can cost upwards of $20 a day to park downtown, gasoline is the cheapest variable in the driving equation. $4 a day in CTA fares to a poor person on a dirty bus is a hell of lot more egregious expense then some suburban L.A. guy paying an extra buck a gallon to cruise in his air conditioned auto.
You're missing the point. Do you think under ANY scenario that money would have instead gone to alternative energy? It would have gone to NFA members, AIDS in Africa, bridges in Alaska, new airports......Nada for energy.
Ever hear of shipping costs rising due to rising energy costs? What a dope... Does your pea brain even minimally understand the concept of those living on fixed income during a time when energy prices rise? Sheesh...
I don't think I'm missing the point at all since I've been against this abortion since long before it started. Are you missing the point? Bush's folly was evident to some of us long before the other 72% caught on. And no...under no scenario do I think the repubs would have done the right thing for America. Which is why they'll wander in the desert for another 40 years. Dumb fucks
Well I'll be honest I don't think it's the Federal governments business to be either in the nation building business OR the energy business. It's a free market. This BS nanny shit get's old. People can't afford to drive? Then fucking move closer to work. Or find another job. Or freakin' hitchhike. But to whine about Big Brother not tossing 200 billion to a bunch of inventors and researchers and corporations while half of it vanishes like any and all Federal dollars is nuts.