Gasoline prices topped $3 a gallon Sunday in nine states, part of a 30% increase since November that some analysts expect due to Joe Biden’s Climate Change policies gas prices will hit the $4 mark soon.
Yes, the mainstream media is blaming the skyrocketing gas prices on increased demand as Americans emerge from COVID-19 sheltering. Coupled with lower supply-driven in part by the recent cold snap in Texas that shuttered oil refineries.
But politics in Washington and around the globe can move gas and oil prices as well, and energy analysts warn that President Biden’s climate agenda likely will exacerbate the sudden rise in fuel costs.
On Sunday, the average price for a gallon of regular gasoline reached $2.86 nationally, according to AAA.
As American’s have become all too aware of, prices for gasoline and diesel have jumped nearly 30% since November when the average was $2.20 a gallon.
It’s the sharpest increase since the late 2000s when motorists had to pay $4 per gallon on average to fill their tanks.
The price at the pump historically has been a roller coaster of seasonal fluctuations and long-term market cycles, but the sudden increase in gas prices has still shocked many Americans.
Myron Ebell, director of the conservative Competitive Enterprise Institute’s Center for Energy and Environment stated:
“People are more sensitive to changes in gas prices than any other thing they buy.
That’s because the price of gas fluctuates a lot more than nearly any other product, and it’s something that anyone who has a car, which is most Americans, knows about well.”
Several factors are supposedly driving the current increase in gas prices.
According to the ‘energy experts,’ the sudden increase in gas prices can be contributed to a number of causes.
First, demand for oil and gas has been steadily increasing as lockdowns start to ease, and more workers return to work.
According to the U.S. Energy Information Administration, demand for gas in March hit the highest level since the onset of the Coronavirus pandemic.
Although demand has grown, supply has decreased.
Domestic and foreign oil production remains lower than at any other time in recent years.
In December 2020, OPEC announced that it would be slashing oil production. OPEC said this month that it would maintain those cuts even though oil prices jumped to more than $60 per barrel from a low of $21 a barrel in May 2020.
Overall, OPEC is producing nearly 2 million fewer barrels of oil daily than at this time last year.
Meanwhile, American oil wells and refineries are idle. Since the start of the pandemic, more than 120,000 energy jobs have been lost because of decreased demand for oil and gas.
In Texas, alone, nearly 60,000 energy industry jobs were lost in 2020.
With refineries shuttered and half-staffed, some energy companies are struggling to meet rebounding demand.
Domestic energy production further slowed because of severe winter weather along the Gulf Coast, which houses nearly half of the country’s petroleum refining capacity.
Texas, which produces more than 4.6 million barrels of oil daily, was forced to halt work at most of its wells and refineries.
All of that has supposedly, according to the media experts, has created a perfect storm for higher gas prices.
Joe Biden and His Climate Change Crazy’s Are Giddy Over Rising Gas Prices
Although the president is not directly responsible for the price hikes, his messaging can determine which way gas prices will go.
One of Biden’s first moves as President was to revoke permits for the Keystone XL Pipeline, which would have carried 800,000 barrels of oil per day from Canada to refineries in the Texas Gulf Coast region as well as create hundreds, if not thousands of well-paying new jobs.
He also issued a moratorium on new oil and gas drilling on federal lands.
Biden also reentered the U.S. in the climate change Paris Agreement and committed the nation to the goal of net-zero carbon emissions by 2050.
With these moves, Joe Biden has sent a clear message to energy companies that will likely hinder any attempts by them to scale up domestic energy production to meet the growing after-COVID demand.
Climate Change Catch-22
If gas prices continue to skyrocket, rest assured Joe Biden won’t care one iota.
As he witnessed under Obama, high gasoline prices make it that much easier to push their climate agenda and also convince Americans to make the shift from gas-powered vehicles to ones that run on electric.
This, of course, to me is hysterical considering that in order to produce the energy an electric car needs to run on.
Joe Biden and his climate change crazies will have to fire up all those coal and oil energy plants that they claim are making Earth uninhabitable.
Democrats Setting Themselves Up For A Huge Defeat in 2022
Given the administration’s fight against climate change, 2022 mid-term election voters will likely blame Biden for higher gas prices, and send the Democrats back into the minority in both the House and Senate.
Biden might be willing to live with that if Nancy Pelosi and Chuck Schumer can continue to push through the Democrats’ radical liberal agenda over the next two years as they’ve done with their recently passing a bloated blue-state bailout bill that was disguised as COVID Relief.