Conyers Outraged by Republican Failures to Address Record Corporate Oil Profits and Soaring Gas Prices

Washington, DC - Today, Congressman John Conyers, Jr. expressed his displeasure with the delayed and ineffective response by the Administration and Republican congressional leaders to soaring gas prices and windfall profits of oil companies. He said the following about the Democratic approaches to solve this problem and the Republican failures to make meaningful progress toward a solution:

"At a time when oil company CEO's receive unprecedented pay packages, when oil companies amass huge company profits, and when American families are paying a larger part of their paychecks toward filling up gas tanks, the Republicans have failed to address this critical energy crisis. While this country has been facing rising gas prices for a long time, Republicans are just now joining the debate with calls for a study into possible price gouging. A study is a start, but it is not a substitute for legislative solutions that I cosponsored nearly a year ago. Because Republicans have traditionally supported tax breaks and corporate welfare for oil companies, I am concerned that this recent Republican lip service to tackling high gas prices is simply a response to political pressures rather than a good faith effort to address the problem with real action.

If the Republicans and the President are serious about making progress, they should embrace the Gas Price Spike Act of 2005 (H.R. 2070), the Windfall Profits and Consumer Assistance Act of 2005 (H.R. 4263), and the Eliminate Gas Price Discrimination Act (H.R. 3964). The Gas Price Spike Act, which I cosponsored in May 2005, would impose a windfall profit tax on oil and gas, allow a tax credit for the purchase of fuel-efficient American-made cars, and increase funding for public transportation. The Windfall Profits and Consumer Assistance Act, which I cosponsored in November 2005, would impose an excise tax of 50 percent of oil producer net windfall profit. I also hope that the Republican leadership supports the Eliminate Gas Price Discrimination Act (H.R. 3964), which would increase competition and lower prices at gasoline stations across the country.

With the nationwide average retail price of regular gasoline currently at $2.91 per gallon, we need action rather rhetoric and empty promises. By imposing a tax on windfall oil company profits, creating a more competitive distribution of gasoline, increasing the refining capacity of oil into gasoline, and rewarding use of alternative fuel sources, we can begin to address this critical issue."

###4-25-2006###