‘Gas tax holiday’ lurches onward

States have been getting in on the fun. Efforts are underway in at least six states to enact regional gas tax holidays, and now New York Republicans are circulating a petition asking citizens to “JOIN The Fight! for lower gas prices.”

Or you could, you know, join the fight for a sane energy policy and clean environment by signing the TerraPass petition that asks politicians to stop insulting us with ineffective gas tax proposals.

Say no to the gas tax holiday.

(The New York state campaign claims to have thousands of signatures. We only just launched our campaign, but it would be nice to match their voice with ours. Remember to share the TerraPass petition with friends.)

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  1. Aaron A. - May 19, 2008

    Despite the promising behavior exhibited by the residents of Juneau, Alaska’s governor seems to have caught the bailout bug too:
    http://www.gov.state.ak.us/news.php?id=1152
    [official press release]
    http://www.adn.com/politics/story/407821.html
    [local paper's analysis and dissenting opinions]
    Long story short, Gov. Palin’s proposal includes $475M in subsidies to utility companies (I believe most of them are co-ops, so hopefully it’ll create an actual reductions in customers’ bills), and $729M to provide every man, woman, and child with $100 per month for a year, in the form of a debit card that only works at gas stations and utility companies.
    In all fairness, our state faces a rather unique predicament. Many remote villages operate their own micro-grids, where noisy diesel generators provide energy for a few hundred people, and heat comes from $8/gallon oil. We city folk would probably use this handout to justify our frivolous ways, but in my experience, our rural population are already running as lean as they can.
    Perhaps the one positive environmental note is (from the press release):
    [C]onservation incentives for the utilities. For every 1 percent reduction in 2008 kilowatt hour sales from 2007 sales, the state will make a year-end contribution for capital energy projects to the utility.
    – A.

  2. Phillip - May 21, 2008

    What exactly IS the argument against the gas tax? As long as it is paid for, why not give Americans short-term economic relief? Or are we operating under the theory that if we keep making gas more expensive, there will be an energy revolution?
    If it’s the latter, I don’t disagree, per se. Goodness know we pay less for petrol than they do in the European Union. But I think “hurting” working class Americans to prove a point isn’t working. I don’t think gas is like cigarettes, i.e. if the price goes up, consumers go down. I mean, the market does not seem to be “solving” this by lowering the cost of hybrids or moving more capital to alternative energies.
    I say let’s have a gax tax holiday this summer, for short-term relief, and use it as a springboard to talk about long-term relief. In the end, I’d rather give people who are hurting in the Bush economy a helping hand rather than a push out the window…

  3. Adam Stein - May 22, 2008

    Phillip –
    A gas tax holiday won’t provide a break to consumers. Supply is limited in the short term, which means that sellers of gasoline will just raise prices by the same amount as the tax cut. There are a lot of sites explaining this. Here’s one:
    http://krugman.blogs.nytimes.com/2008/04/29/gas-tax-follies/
    By the way, consumption of gas absolutely does appear to be going down as prices rise. Which is nice.

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