REHOBOTH BEACH, Del. – President Biden said on Monday that the possibility of lowering the gas tax to alleviate high fuel prices is being considered, a major political dilemma for the White House as it struggles to tackle record inflation .
“I hope to have a decision based on the data I’m looking for over the weekend,” the president told reporters in Delaware.
The suspension of the gasoline tax, which is 18.4 cents per gallon, would require congressional action. In February, when Democratic lawmakers explored the idea, Republican leader Sen. Mitch McConnell of Kentucky dismissed it as a ploy.
The national average for regular gasoline was $ 4.98 per gallon on Monday, according to AAA, after surpassing $ 5 this month. Oil and refined fuel prices have risen to their highest levels in 14 years, largely due to the Russian invasion of Ukraine and consequent sanctions, as well as a rise in energy use. as the economy recovers from the coronavirus pandemic.
The White House and Congress Democrats have discussed a national gas tax holiday as one of the few options to reduce the cost of the bomb, as external factors have been the main drivers of rising prices. The high cost of gas is a major responsibility for Mr Biden and Democratic lawmakers as the midterm elections approach.
When gasoline prices rose in March, the White House turned to the Strategic Oil Reserve, ordering the release of up to one million barrels of oil a day for 180 days in hopes of meeting demand. The overall effect has been limited and gas prices remain close to all-time highs.
Mr Biden said on Monday that his team was scheduled to meet this week with the CEOs of major oil companies. Last week it punished some of the largest oil companies for speculation while US consumers endured high prices.