Obama On Gas Prices: There's No 'Silver Bullet' To Avoid Annual Spikes

WASHINGTON — President Barack Obama says higher auto mileage standards set under his administration and better cars built by a resurgent U.S. auto industry will save money at the gas pump over the long term, a counterpoint to Republican criticism of his energy policy.

In his weekly radio and online address Saturday, Obama said Detroit automakers are on track to build cars that average nearly 55 miles per gallon by 2025, doubling current mileage standards.

"That means folks will be able to fill up every two weeks instead of every week, saving the typical family more than $8,000 at the pump over time," he said. "That's a big deal, especially as families are yet again feeling the pinch from rising gas prices."

During the past several weeks, Obama has been eager to appear aggressive in the face of rising gasoline prices even as he reminds audiences that there is no simple, immediate solution that will reverse the current spike in prices.

"What's happening in Detroit will make a difference. But it won't solve everything," Obama said. "There's no silver bullet for avoiding spikes in gas prices every year."

By drawing attention to the auto industry, Obama looked to highlight both his efforts to improve fuel efficiency as well as his role in helping rescue General Motors and Chrysler. He also reiterated his call to end oil and gas company tax breaks and government subsidies that average about $4 billion a year.

Rising oil prices have become a concern at the White House, where Obama aides worry they could hurt an economic recovery that has been improving and also harm the president's re-election prospects.

Oil prices typical rise in the spring, but they have spiked to heights unseen at this this time of year, hastened by increased tensions over Iran's nuclear program. Gasoline prices reached $3.74 a gallon on Friday, a record at this point in the calendar but still shy of the high point of $4.11 hit in July 2008.

In Saturday's Republican address, Rep. Doc Hastings of Washington said a meeting this week among Obama and House and Senate leaders from both parties "provided a glimmer of new hope that the president and the Democratic-controlled Senate may finally act on some bipartisan energy bills" already passed by the Republican-controlled House.

Still, Hastings, the chairman of the House Natural Resources Committee, faulted Obama for not doing more to increase domestic oil and gas production, for opposing drilling on the Arctic National Wildlife Refuge, for blocking a Canada-to-Texas oil pipeline and for imposing regulations on energy producers.

"The president, who campaigned on a promise to address rising gas prices, now talks as if they're largely beyond his control," Hastings said.

___

Online:

Obama address: www.whitehouse.gov

GOP address: www.youtube.com/HouseConference

Comments

[nicothebaker]

08:00 PM on 03/06/2012

When people are filling their gas tanks, they don't want to hear Obama talking about free contraceptives for some floozy in Georgetown. The President has lost all credibility on this issue. We need a President that is serious, not a lying opportunist.

[Robert Lee Harrington]

06:01 PM on 03/06/2012

"Your critics will say on Capitol Hill that you want gas prices to go higher, because you have said before that will wean the American people off fossil fuels onto renewable fuels. How do you respond to that?" he said.

Obama's reply combined annoyance and derision.

“Ed, just from a political perspective, do you think the President of the United States, going into reelection, wants gas prices to go up even higher?" he said. Turning to the room at large, he added, "Is there anybody here who thinks that makes a lot of sense?”

[Scottie Ingram]

02:27 PM on 03/06/2012

Im paying $4.34 per gallon for REGULAR gas here where I live. $100 to fill up my car is NOT OK!

[jerrym930]

05:55 AM on 03/06/2012

The Pres ident says there is nothing that can be done to bring down oil prices, no "Silver Bullet". I remember when oil went over $140 barrel in 2008, because of the unrest in the Middle East. Pres ident B ush opened up more off-shore areas for drilling, and the price of oil dropped to under $40 barrel in six weeks.

The current Pres ident started this rise in oil with his moratorium on drilling after the BP fire. He has further added increase to it with his turning down of the Keystone Pipeline. These things are being done purposely, in order to make his "Green Energy" policies look more affordable. He does not care that he is hurting the poor and lower middle class at all. As long as he can force his agenda of "Green Energy", the ends justify the means.

I will agree with those who say we need tighter controls on the speculators, but I also know that there are always two sides to every story. Failure to look at both sides will result in coming to the wrong conclusions, and end up with a bad choice on a proper solution.

[General Washington]

08:13 AM on 03/06/2012

"I remember when oil went over $140 barrel in 2008, because of the unrest in the Middle East. Pres ident B ush opened up more off-shore areas for drilling, and the price of oil dropped to under $40 barrel in six weeks."

That's didn't happen because he opened up more areas for offshore drilling, especially since he didn't.

That happened because the economy - globally - fell off a cliff (partially because of those high oil prices), and demand dropped.

Obama has also opened up more areas for drilling, including offshore (something I disagree with strenuously), which still doesn't affect the price of a commodity that is used - and traded - globally.

[westcoastsc]

04:25 AM on 03/06/2012

Not true. There are at least three things that could be done to bring gas prices under control. Because production is up and consumption is down, but the prices are still going up, this means that the prices are going up purely by the acts of capitalists of tremendous wealth who are using their capital to speculate on the markets in order to push oil prices up. The whole talk of war with Iran may even be part of the strategy to make more money on oil. The speculators must be dealt with. Aggressive use of the Federal Oil Reserves would cause speculators to lose their shirts. Speculation at a level which causes national crises should be considered as a level of treason or act of war against the country. Also, when prices come back down, it is important to tax imported commodities such as this in order to get a handle on the trade deficit and make it more difficult for speculators to put demands on oil. Taxes on commodities such as oil cause demand to be lessened while recycling the money in the economy. Taxes are a form of savings that could be used for the infrastructure that will bring a better tomorrow, not a worse one like we are living today.

[SwiftJonathan]

04:19 AM on 03/06/2012

Sure there are silver bullets... just order your Prius or Nissan Leaf in silver metallic.

:-)

[HKgovt]

10:54 PM on 03/05/2012

We have all felt the pain in our wallet filling gas tank & maybe shed a tier over insain Washington policy. Enjoy a laugh (we all need it) from democratic papers editorial cartoonist's take on High Gas Prices. LINK http://www.cagle.com/2012/02/my-rising-gas-price-cartoons/

[nicothebaker]

07:28 PM on 03/05/2012

There is a new level of unaccountability in the WH.

[aprilborn04]

12:28 PM on 03/06/2012

Good thing we have an effective Congress, EH!

[F7]

07:06 PM on 03/05/2012

Mr. President, I respectfully disagree.

Simply threaten to open the Strategic Reserves and the price of gasoline will drop like a rock!
If they don't, open the reserve and watch as speculators flee the oil market!

[SwiftJonathan]

04:20 AM on 03/06/2012

Yeah... that worked so well last time that you don't even remember it any more.

:-)

[cats530]

06:53 PM on 03/05/2012

Nope. Silver bullets don't kill financial vampires like squidman-sachs. I'd suggest a wooden stake or perhaps the repeal of Commodities and Futures Modernization Act for starters.

[kevhar12]

06:47 PM on 03/05/2012

http://mediamatters.org/blog/201203050007

[Joseph Ebanks]

05:50 PM on 03/05/2012

Mr. President, it's time to remove fuel from Walstreet and their irrational speculation and intervening as a result of their pursuit of greed.

[Imagine 39]

05:35 PM on 03/05/2012

$8000 will be worth $100 by 2025.

[Imagine 39]

05:30 PM on 03/05/2012

I can't believe they have the gaul to say it would take till 2025 to raise gas mileage to 55 miles per gallon.
What happened to the Country who converted its whole manufacturing industry to support the WW2 war effort in one year?
What happened to washington?

[Robert Lee Harrington]

06:45 PM on 03/05/2012

Suzuki Swift XFI got 58 mpg in 1993.....if you can find one!

[SwiftJonathan]

04:23 AM on 03/06/2012

55mpg even by 2025 would basically mean that people who just bought a new car would have to switch it for a vehicle that gets more than twice the mileage. That's simply not going to happen. We are behind the rest of the world by about 30 years and will continue to trail for at least half a century.

[Imagine 39]

05:21 PM on 03/05/2012

There are enough cattails growing in the lakes of Minnesota to fuel ALL the cars in the Country with ethanol.
Cattails also purify raw sewage to near potable water and the processed cattails make excellent cattle feed which can be sold at a profit.
Liquor distillers could expand to produce this for the Country.
No "silver bullet" ?
More like no political will or forward thinking. Oil pirate money enslaves.
http://alcoholcanbeagas.com/