Oil is a big issue these days. For some reason, people seem to think that it is overpriced. But if you ask me, it’s still cheaper than Evian ($1.85 for a half gallon at Safeway!). I’m sorry, but until gas is more expensive than bottled water, I can’t be all that concerned. To me the problem isn’t so much the gas prices as the way our economy is built to rely on cheap gas. Personally, after having seen An Inconvenient Truth I think we need to dramatically reorganize our economy to interalize the costs of oil.
But that’s not how either candidate for governor sees it, so we go with what we got. The populist feeling is that gas is too expensive, and that the oil companies are responsible for that. According to a Field Poll from last August,
The recent big increases in gasoline prices are viewed by 71% of Californians as a serious matter, particularly by those with lower levels of income. The run-up in fuel prices has forced a sizeable segment (40%) to cut back on other areas of spending, and to some extent, change their driving habits in ways that reduce gasoline consumption.
A majority of Californians (58%) places a lot of the blame for the current surge in gasoline prices on the oil companies. More than four in ten also ascribe a lot of the blame to the Bush administration (47%) and to foreign oil-producing countries (41%). (Field Poll)
Both candidates have responded to these sentiments. Schwarzenegger ordered an investigation to see if oil companies were price-gouging. Angelides has countered by supporting Proposition 87, which would charge oil companies for every barrel of oil extracted in California and then spend the money on alternative energy. Now, California itself has little power to truly affect the gas price situation, but when TV cameras are rolling, why would a lack of authority stop a gubenatorial candidate from pontificating?
At an Earth Day beach cleanup in April, Schwarzenegger said he was prepared to go after oil companies if he found they engaged in price gouging. He noted that “some people have to make a choice between having money for food or putting more money into gas.”
Schwarzenegger in April directed state agencies to work toward having California produce 20 percent of its own biofuels by 2010 and 40 percent by 2020. In 2004, he called for a “Hydrogen Highway” that would place hydrogen stations every 20 miles in California on major roadways.
State Treasurer Angelides said Californians “are ready to find ways to cut their gasoline use, save the family budget and help the environment.” He has pledged to reduce fossil fuel use by 25 percent over the next decade in California and wants all vehicles sold in-state to be capable of running on ethanol or other alternative fuels.
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Angelides said the November initiative would give Californians much-desired alternatives to oil while cutting into record energy profits. Schwarzenegger campaign spokeswoman Katie Levinson said the governor opposes it because it imposes a new tax, though she carefully described his position in a statement. (SacBee 7/3/06)
Angelides has been taking the position that Republicans in general, especially Bush, are to blame for the gas crisis. And connecting Shwarzenegger to Bush isn’t really that hard (I’m talking to you Steve Schmidt). The presence of Prop 87 means that there will at least be plenty of discussion about oil prices as we head into the election. If gas prices continue to rise, it might become even bigger. The issue can get wrapped up with the environmental and coastal protection issues that have been getting plenty of attention as well. But if we see $4.00, get ready for lots of talk on the subject.