August 10, 2022

News and Update

Biden says he’s contemplating fuel tax break as admin targets July 4 announcement

Gasoline costs are marketed at a Chevron station as rising inflation and oil costs have an effect on shoppers in Los Angeles, California, June 13, 2022.

Lucy Nicholson | Reuters

President Joe Biden mentioned Monday that he’s critically contemplating a pause in federal fuel tariffs because the White Home considers taking steps to cut back pumping prices forward of the July 4 vacation.

White Home officers say the weekend of July 4, when tens of thousands and thousands of Individuals are anticipated to take to the streets, is the goal to announce new measures to assist carry down document fuel costs.

On Monday, Biden mentioned he might decide to pause the federal fuel tax later this week. “I hope I make data-driven choices,” he instructed reporters touring with him in Rehoboth, Del.

Decreasing the fuel tax would require congressional motion, and a White Home official acknowledged it might be a problem. “Republicans don’t need fuel costs to go down,” the official mentioned. “They need Biden to undergo.”

The official pointed to Senator Rick Scott’s remarks, R-Fla., about The Wall Avenue Journal Final November mentioned that rising fuel costs and inflation had been “a gold mine for us.”

Different doable steps the administration is contemplating embrace reducing fuel costs, though a White Home official dismissed the thought as “a stretch” and mentioned it was “not severe.” Whereas the fuel tax vacation appears to be getting extra consideration, officers say among the many unanswered questions is how lengthy it can final.

The hassle to announce the brand new measures comes forward of a gathering Vitality Secretary Jennifer Granholm plans to fulfill with refining executives, a supply acquainted with the matter mentioned is anticipated on Thursday, June 23. The assembly comes amid rising tensions between the White Home and the US oil business.

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Granholm famous on CNN on Sunday that if the administration strikes to halt the federal fuel tax, some federal funds might cease progressing on street initiatives as a part of infrastructure laws Biden signed. final yr.

“If we eliminate the fuel tax, that takes away the funding that simply handed Congress to have the ability to try this,” she mentioned. “So, you already know, that’s one of many challenges, however I’m not saying that’s off the desk.”