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Truckers rally to demand…something
More misguided calls for price controls on gasoline.I can’t even really count the ways this doesn’t make any sense:
Silly season is well under way, with politicians of all stripes promising meaningless action on gas prices. It’s depressing. It’s also why passing climate change legislation remains so damned hard. Remember: low gas prices or the environment. Choose one. There are, of course, distributive effects to higher gas prices. In this case, those effects are hitting one particular group of people hard, and naturally we should be sympathetic to their plight. But that sympathy doesn’t extend to supporting disastrous energy policies. Image by Jahi Chikwendiu, Washington Post. Tags: Energy policy, Gas prices, Protests
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Act meaning…drive less? Stop consuming so much gasoline? Pass carbon cap legislation that moves us away from a fossil-fuel based economy? Couldn’t agree more… All the crazies (by which I mean politicians) were out in force today, honking their horns as loudly and with more coverage than the truck drivers. They all need to do “something” about those gasoline prices. And, no @fgh, much though I despise ExxonMobil, it’s not because the oil companies are gouging us. It’s simply this: when you are one of a small number of huge companies that have something we cannot get enough of, you need to charge a high price: if you don’t, one of your competitors will charge a higher price (you’ll run out of your low priced oil, and they’ll have enough for everyone willing to pay). Ah, economics: it’s not called the “dismal science” for nothing! The problem is not with the suppliers; it’s with the demanders … you know, us. We want more and more and more oil, and we haven’t (quite) yet felt the pain associated with the cost of it. Sure, gas costs a lot today (and diesel fuel even more). But it’s still relatively cheap. We’re feeling the simple pain of change. No, we cannot have our big SUVs without pain. No, we cannot have our huge houses. No we cannot drive 1/4 mile to drop off our kids at school in the minivan. The politicians know people don’t like to change, so they are saying “prices are outrageous” and stuff. A lot of talk. The only solution is for us addicts to break our habit. Act! As Adam says, simply drive less. Can’t do it? Good idea but not practical for you? Economics is asking us to very, very carefully examine our use of oil and gasoline. Like that old Fram oil filter ad, “you can pay me now, or pay me later”. It’s totally possibly for every single one of us to reduce the amount we drive, or the amount of gas we consume by, say 5%. If *everyone* did this starting tomorrow, prices would tumble. Of course we could all certainly save 10% with no pain, or probably (if we put our minds to it, and really, really changed they way we think about our lives) more like %25 or actually probably %50 with hardly any (negative) impact on our quality of life. No, really. Just look back a few years to when we used a great deal less oil than we do today. Are our lives better today? Really? We have to change our lives: act by doing something (not just saying things), and perhaps that action is by ceasing to do something. TerraPass is an almost trivial start to this change — great because it causes us to think a little ahead of the curve. But the real change could be gentle, or if we deny it, will most certainly be a lot more harsh. “You can pay me now, or pay me later”. I am optimistic that the American spirit will prevail, and we’ll take action, just like we did in 1978. Hopefully this time it “sticks”. Tom Harrison 4.
Comment by Keoni Morrell
@ Apr 30, 2008 5 AM
 As a truck driver and an environmentalist, I am torn in two directions: On one hand, I would LOVE to stop using so much fuel. On the other, I would also LOVE to keep on earning a living. The solution to the problem for truck drivers isn’t just “drive less.” The fact of the matter is that if a truck driver “drives less,” then he/she is forced to get paid less. In theroy, it would be great if I could dump some sort of other fuel in my truck and keep on driving, but unfortunately there just aren’t any other real options. Biodesiel isn’t available everywhere, and frankly since I don’t own my own truck, I am forced to put into the gas tank whatever the company tells me to put in the gas tank. I would love to see some sort of battery powered anti-idle technology mandated for all big trucks, but again, it’s not my truck, and I have no say over what gets installed on it. I agree with this article that price fixing really isn’t a solution. However, telling us to simply “drive less” isn’t really a solution either.
Yes, sorry, you’re absolutely right about that. Truckers are in a bind here. The issue, really, is that there is no good solution to their problem. Anyone in an industry with high exposure to fossil fuel costs is going to have a rough time of it in the short term. This sucks, but as you note, price fixing won’t help. There is no “quick” fix. Yes, it will take lots of dollars to fix the issues. We have made ourselves dependent of a petroleum based economy. From the farmer, truckers, processors, distributor, grocers, to consumers. As fuel increases, everything will increase. One glitch in the petro industry send prices through the roof. Bottom line, WE ALL have a problem and the fix is complicated, costly, but necessary. Elected officials will give lip service only. Our best bet is for some Research and Development company to come up with a cost effective and environmentally safe solution that is MARKETABLE to everyone. Then the masses, government, and environmentalist will all be in support of the changes we need to be eco friendly for the world. 7.
Comment by Keoni Morrell
@ Apr 30, 2008 6 AM
One thing that I would like to point out: A well known truck manufacturing company (Peterbilt) is planning a Hybrid truck (much like the hybrid cars, except it runs off of desiel). Right now, they are planning on rolling out a light truck (not an 18 wheeler) on a test basis next year, with heaver trucks to follow. It will be great to see how it works out. 8.
Comment by Keoni Morrell
@ Apr 30, 2008 7 AM
Poor Educator, Now if you could just take out that front bit (you know, the part where you’re lambasting the host of the web site), and the middle part (you know, the part where you’re off topic… talking about lightbulbs when we’re all talking about fuel costs and the effect on everyone, including truckers), you might actually get something posted. I’m sorry if I offend, but the moderator is right. You need to reserve the other stuff for either the bathroom wall or to talk about with your buddies at the fuel island. You’ll catch more flies with honey here. 9.
Comment by Wally Gibbs
@ Apr 30, 2008 8 AM
The solution is not to artificially reduce prices, but to reduce consumption so the market causes prices to drop. Consumption is lowered by increasing fuel economy or deceasing usage. Increasing fuel economy means more fuel-efficient vehicles. This means purchasing hybrids, etc. which is out of reach for many lower income families. This also takes years to have a substantial impact. Decreasing usage can be achieved in a fairly short time by increasing telecommuting. This does not require new vehicle purchases or major investments in new technology. It does not require that gas hog “toys” be shelved. It does not require that SUV-loving motorists change their ways. It “does” require, political and corporate willpower…or public demand. The concept is fairly straightforward as follows. The benefits are enormous. Oh yes, as a side benefit, lower consumption reduces greenhouse gasses. One last benefit is that as demand decreases, our dependence upon middle-east oil decreases. As that dependence decreases, our presence there decreases as we no longer have a “vested interest” to defend. As we leave that region, the terrorists and radical governments (Iran, etc.) get what they want —- the US out of their region. But they also get what they don”t want —-no “barrel” to hold us over. Fairly quickly, we don”t need them and they find out that they need us. The political tables turn in our favor. The same scenario goes for Chavez and his buddies in South America. Yo Tom, it is not the dismal science - it is price fixing. Go anywhere in USA and get all the gas you want at 3.70 a pop. From 06 to 07,there was a worldwide increase in demand for crude of 2% which netted a 60% increase in cost of gas at the pump. As to gouging, Exxon has owned crude oil for 50 years that is used in making today’s gas and factored in the cost as if it was bought today. We could mobilize to save a gallon of gas per day per car and eliminate the need for 1/8 of the crude we use with corresponding greening. This is more than we buy altogether from the mideast and would elliminate that baggage as well. 11.
Comment by Billy
@ Apr 30, 2008 8 AM
Ha Ha!! Stupid truckers!! It’s your choice to be a trucker. Gas prices are part of your job. You knew this when you signed on. If you didn’t know this, you failed to do your research. Next time, maybe you will think of these things. If you don’t high gas prices, do something else. No one made you be a trucker and no one is keeping you there. 12.
Comment by Billy
@ Apr 30, 2008 9 AM
Oh, and I would bet that most of them go home to huge SUVs, boats, and a myriad gas-powered play toys. That means they are doubly contributing to higher-fuel prices. Maybe they should have paid attention in high school economics class when “supply and demand”. Show me a group of truckers who are concerned about the environment and I’ll get off my butt and work to help them. Anyone? Anyone? Nope…didn’t think so. Just many other people in America…they want something for nothing and feel that somehow, they deserve it. 13.
Comment by Billy
@ Apr 30, 2008 9 AM
I just read what Keoni said above… Why didn’t the truckers petition the companies that build their trucks for more fuel efficient vehicles? Why go after the government? The government has nothing to do with the fact that their job requires fuel. It’s because the truckers represented by that group are simpletons and take the easy way out of things…Morons. I feel there are people who don’t understand something. If truckers don’t run their trucks, unless we have a garden out back, we don’t have food. Trucks deliver directly or indirectly affect gas, power to run these computers we type on, vehicles, or any other item we take for granted. Oh did I mention water in your public water system, no trucks, no safe drinking water. The truckers took their grief to the most public place as we who are concerned for the Environment, to our elected officials! Think about it this is a problem for us ALL unless you happen to live on a self substaining island somewhere. 15.
Comment by R
@ Apr 30, 2008 9 AM
Two comments: I don’t agree with the government capping gas prices, (not necessarily from a environmental standpoint because if it was really only temporary the effect would be small, but it would probably backfire economically as well) but I don’t have or hear anyone else proposing any other ideas that could actually help in the short term either. 16.
Comment by Candy
@ Apr 30, 2008 9 AM
We are truck drivers but we still would rather see the environment put first. We do all we can to conserve fuel - drive 55 mph, don’t idle our truck, use our generator only when we need it, and drive as “gentle” as possible. Until our industry does all it can to conserve fuel we have no reason to ask anyone to bail us out. There are still plenty of trucks out here that fly past us and run their trucks all night even when they aren’t needed for heating or cooling. We also get a fuel surcharge that gets added into what the loads pays, the unfortunate part is that extra cost gets passed on to all consumers so in the end all of us are paying for the fuel costs of the trucks. 17.
Comment by michael
@ Apr 30, 2008 10 AM
Billy’s ignorance aside, it takes about 1,200 horse power and about 2,000 lb ft of torque to move most rigs along the road with efficiency. In addition diesel is more efficient than gasoline. Further, Dr. Diesel was found floating face down in a body of water soon after inventing the diesel powered motor, a motor design from the begining to run on peanut oil. Smaller vehicles may mean more highway congestion and may increase fuel consumption. Our demand for goods - material goods having nothing to do with survival - might be considered as adding unneccessary stress to our lives. Consider living a simpler life, with family close by, food from the garden and perhaps wine from a place not too far away. Family, food, and friends should determine our culture, not Xbox or american Idol. Our mind set is at some level disgusting. 18.
Comment by michael
@ Apr 30, 2008 10 AM
I missed one point above - diesel is also less expensive to brinbg to market so why does it cost upwards of a dollar more a gallon? Game playing I suggest… 19.
Comment by Billy
@ Apr 30, 2008 11 AM
First, I think its really funny that people say, “Billy isn’t worth responding to” while they are responding to me. All I said is, “It’s your choice to be a trucker. Gas prices are part of your job. You knew this when you signed on.” America is a free country. You have the freedom to choose WHAT YOU WANT TO DO. It’s your right. However, the freedom to choose comes with accountability and responsibility. If fuel prices are high and you can’t afford it…DO SOMETHING ELSE. No one is forcing truckers to be truckers. I agree…this is going to make the cost of everything go up. Big deal. I’m not addressing that issue, so bringing that up is irrelevant. I am addressing the issue of the silly protest in Washington. Capping fuel just encourages people to use more because of lower prices. I would encourage people to buy locally and not as much. You can all think I’m crazy and maybe I am, but I started riding my bike to work when fuel prices got high…what have you done??? Why bitch when there are better solutions? 20.
Comment by Billy
@ Apr 30, 2008 1 PM
Dear Educator…SURE!! I don’t mind riding places to get things. The things I can’t get…off-season food, things that don’t grow in my area, etc…I will learn to do without. I find that as Americans, we often want everything for free…with no price or reprocussions. I’m willing to pay more for things that I need and willing to forgo things I don’t or can’t afford. I support higher gas prices and all that will come with it. If the truckers don’t like it, they can do what everyone else does and find another job. That is well within their right. Oh…and does it make sense to ‘drive’ from where they were from to DC and then ‘drive’ around the capital honking their horns in protest. Might I suggest they ‘walk’??? It would be cheaper and probably more responsible in the long run. The truckers that took part in that rally are idiots. I have no sympathy. 21.
Comment by Billy
@ Apr 30, 2008 1 PM
The problem is…the solutions to high fuel prices are solutions no one wants to hear. No one wants to be told, “You can’t drive an SUV” or “You can’t live so far from work” or “You have to ride your bike to work and actually get off your lazy butt” or “Congratulations! From now on you get to ride public transportation every day!” No one wants to hear those things. Unfortunately, the only solution to rising gas prices is to use less fuel. We do that by; 1) Buying locally, 2) Riding bikes and taking public transportation, 3) Buying smaller cars, 4) Car pooling, 5) Having less children(!!), and a bunch of other things that all involve making sacrifices. Unfortunately, most people don’t want to make sacrifices and most politicians don’t have the balls to speak the truth when it comes to discussing fuel prices and what we can do as a nation. Whatever…keep wishing the government will step in and cut prices…That will probably work… 22.
Comment by Billy
@ Apr 30, 2008 1 PM
The problem is…the solutions to high fuel prices are solutions no one wants to hear. No one wants to be told, “You can’t drive an SUV” or “You can’t live so far from work” or “You have to ride your bike to work and actually get off your lazy butt” or “Congratulations! From now on you get to ride public transportation every day!” No one wants to hear those things. Unfortunately, the only solution to rising gas prices is to use less fuel. We do that by; 1) Buying locally, 2) Riding bikes and taking public transportation, 3) Buying smaller cars, 4) Car pooling, 5) Having less children(!!), and a bunch of other things that all involve making sacrifices. Unfortunately, most people don’t want to make sacrifices and most politicians don’t have the balls to speak the truth when it comes to discussing fuel prices and what we can do as a nation. Whatever…keep wishing the government will step in and cut prices…That will probably work… 23.
Comment by Keoni Morrell
@ Apr 30, 2008 1 PM
Billy, In your post you asked why we don’t go after the truck manufacturers and ask for more efficient trucks. The fact is that WE DO, and as a result, more efficient trucks are being made all the time (see my post about the hybred trucks) Unfortunately, the technology just isn’t moving fast enough. Secondly, you claim that the truckers that went to Washington are “simpletons.” Oh please. Enough with the name calling already. It sounds like I’ve switched on an A.M. talk radio show. We are just people. People like you. Many of us have college educations, some of us have even graduated with PHDs. Many truckers have tried other jobs. Many have gotten laid off from those other jobs. I would love to get a job doing what I love to do, Computer Programming, however, the market system has taken that job away from these shores, and I am forced to get the job that I am able to do… Driving a truck. Many of the people who took part in the protests in DC are small business owners who don’t have the means to “sit this one out.” Most are desprate knowing that they have to make enough money to balance the books. Honestly, they are simply asking the government for help. Who can blame them? If you care about free speach, you need to look long and hard at your actions. Free speach means free speach for EVERYONE. Even those who you don’t agree with. Lastly… From what I understand, they DID park their trucks. 24.
Comment by Billy
@ Apr 30, 2008 3 PM
I believe in free speech for everyone too. Truckers have the right to say whatever they want. It doesn’t mean they have the right to get whatever they want. Cheap fuel is nice to think about. Protest all you want…if America keeps the demand up, fuel prices will stay where they are and probably rise. It may be the right time to start thinking about a new career. While I feel bad for small business owners (and even large companies like Ford and GM), I did not force those people to do what they do for a living. There is no law that says, “You must be a trucker” or “You must design and sell gigantic pick-up trucks.” Those people choose their fate everyday. America needs to learn to have accountability for it’s actions. Life isn’t fair…Driving is not a right. Its a privilege. 25.
Comment by Keoni Morrell
@ Apr 30, 2008 4 PM
While I agree that price caps are not the answer and that truckers don’t have the right to get whatever they want, I don’t agree that just telling truck drivers to just give up on their career is the right answer. Chances are that just “getting another job” would entail bankruptcy for many of these drivers. Most of those trucks are owned by the bank, and if everyone is getting rid of their trucks, it’s a slim chance that they are going to be able to get out from under their truck without being in considerable debt (think housing market). Secondly, if all these small business owners DID just change jobs, the only companies that would be left in the industry would be the large ones with deep enough pockets to ride the adjustment out. This would leave us with a market with very few players (read: monopolies). Kind of like what happened to the oil companies way back when. This isn’t good for America, and isn’t good for business. Let’s come to another solution. Perhaps we could have some sort of grant or subsidy for owners of small trucks. Maybe reduced interest on truck loans… Something like what the government does for school and house loans maybe? 26.
Comment by Keoni Morrell
@ Apr 30, 2008 4 PM
Perhaps we could have some sort of grant or subsidy for owners of small trucks What I meant to say was grants or subsidies for owners of small trucking companies. Oops. Totally different. 27.
Comment by Billy
@ Apr 30, 2008 4 PM
I can agree to that. My points above are not directed specifically on small businesses or truckers. I have just been looking around in amazement as many Americans get themselves in over their head financially, then turn around and expect someone to dig them out (That someone being ‘the government’. At some point, we all have to say, “You did this and we just don’t have the money to bail you out for your hasty decisions. Stop making hasty decisions!!” It sounds cruel, but I just chalk it up to a learning experience. I totally understand the need for shipping, but I don’t believe that protesting for gas caps is the answer. I would support subsidies for trucking companies. 28.
Comment by Keoni Morrell
@ Apr 30, 2008 6 PM
I wholeheartedly agree that at some point it’s just not prudent to keep on bailing people out. However, I think that we should be more worried about the big players in the “bailing out” department. How many times have we bailed out the major airline companies? How about big oil? How about the car manufacturers? And each time they cost the tax payers billions of dollars. Granted, by bailing out these companies we saved hundreds if not thousands of jobs, however I wonder if that money would have been much better spent by just giving it to the people who were losing their jobs! Also another thought I had while eating dinner: how about subsidies tied to a requirement to use part of that money to install and use anti-idle technology, or to buy a more updated (and more fuel efficient) truck? That way we can kill two birds with one stone. Thanks for the conversation Billy. 29.
Comment by Sandy
@ May 1, 2008 3 AM
Gas tax? How about a meat tax? Dairy tax? That’ll do fine !! 30.
Comment by michael
@ May 1, 2008 6 AM
Billy, what do you suggest we do with the truckers? If I read into your comments, you would like all of the fuel-loving folks to stop driving today. High fuel prices, and, food shortages??? Educator…I agree, it is a scam…perhaps an effort meant to cease further diesel development…I don’t think these can run on corn. I digress and ramble on, but this type of meddling is not out side the realm of reality…sheep we are, driven to the most obvious, if well cared for, choices. 31.
Comment by Steven in Colorado
@ May 3, 2008 6 AM
The first poster has a typical response that blames the oil companies without looking at the facts. You want to see huge profits? Check out record monies the government raked in from their taxes on oil and gas last quarter. The guvvies make three times the money on taxes on a barrel of oil than the oil companies do. You’re being confused by the *scale* of the problem—because SO MUCH oil is sold, profits SEEMS incredibly high. They’re not, percentage wise…I think the average for the industry is around 8.5%, which is right in line with any other materials extraction industry. Oil companies are NOT ripping anybody off—if you wnat to pay 0% taxes, just don’t buy any oil. The problem is the huge demand for oil built into all aspects of our economy, and finding anything that might reasonably replace it. Beating up the oil companies is just needing to have somebody to blame instead of looking in the mirror. 32.
Comment by geoben
@ May 6, 2008 2 PM
I can’t agree with Steven’s post more. Record profits result in record tax payments to the United States and other countries. This results in a windfall to the government. It is this income which should be used by the government for alternative energy research and infrastructure spending. Alas, I believe, these monies are spent elsewhere. The proposed windfall profits tax in oil companies will likely lead to decreased production volumes, driving up the cost to the consumer of what is produced, allowing companies to find the balance point between profit and avoiding “windfall profits.” Oil companies, indeed all companies, will work within the marketplace to maximize shareholder return, which, in a “windfall profits tax” environment could mean controlling production. Ironically, because of the potential for even higher prices at the pump with a windfall profits tax, faster development of alternative energy sources and the unsubsidized flourishing of these technologies in the marketplace could occur. Price caps don’t make any sense, and gasoline tax holidays don’t either. Using petroleum production tax revenue to fund alternative energy research does. In my view, unintended consequences happen to governments and societies when the free market is not allowed to work. Promoting alternative energy within a legislative framework that makes sense is the way to go. Unfairly hobbling one sector of the economy to promote change is not. 33.
Comment by Vermont
@ May 9, 2008 1 PM
Where is my hydrogen car? And my solar powered hydrogen refueling station? This problem is showing at least some of us how horribly off task our government has become. In the US Capitalism has proven to be stronger than true Democracy. We remain fat stupid piggish Americans because we are pretty helpless. We truly are. Public support is at an all time high for alternatives but when the powers that be block them nothing can, nor will change. I give up - I’m moving to Iceland. Post a comment |
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check out the record profits for the gas companies ask the gas companies why we dont have more hydrogen driven vehicles or natural gas trucks the hell with them time to act nowwwwwww