CleanTechnica is the #1 cleantech-focused
website
 in the world. Subscribe today!


Clean Transport gas taxes lowest in history

Published on July 13th, 2010 | by Zachary Shahan

9

Lowest Gasoline Taxes Since the Beginning of the Automobile

Share on Google+Share on RedditShare on StumbleUponTweet about this on TwitterShare on LinkedInShare on FacebookPin on PinterestDigg thisShare on TumblrBuffer this pageEmail this to someone

July 13th, 2010 by Zachary Shahan 

gas taxes lowest in history

[social_buttons]

One of the best ways to promote clean transportation is to discourage dirty transportation. But despite decades of Presidents saying they will reduce our dependence on fossil fuels (quotes here; video here), nothing of the sort has happened and one of the biggest culprits of pollution, the automobile, has probably gotten more help than anything else.

People may complain about the price of gas going up because the raw number is going up, but — adjusted for inflation — gasoline taxes are at their lowest in decades.

gas tax graph

USA Today, which has been surprising me lately with its transportation articles, has a pretty good recent article analyzing the drop in gasoline taxes over the years.

Gasoline taxes are half what they were in 1975, when adjusted for inflation, they found.

Additionally, the value of the tax isn’t what it used to be due to better automobile efficiency, meaning there is less funding coming in for improving transportation infrastructure around the nation.

“Drivers are on track to spend $55.7 billion on federal, state and local gas taxes in 2010’s first quarter, the Bureau of Economic Analysis reports. That’s down from $68.5 billion in 2000 after adjusting for inflation — even though Americans drive 7% more miles annually.”

Nonetheless, despite the very long-term drop in such taxes and the lack of funding for transportation projects everywhere, the public doesn’t support raising gas taxes yet.

“Only 23% support a 10-cent-per-gallon gas tax hike, according to a June survey by the Mineta Transportation Institute at San Jose State University.”

How can we encourage more sustainable modes of transportation and even more sustainable automobiles without addressing this critical transportation issue? Our solutions are working against our refusal to implement other solutions.

Photo Credit: B Tal via flickr

Keep up to date with all the hottest cleantech news by subscribing to our (free) cleantech newsletter, or keep an eye on sector-specific news by getting our (also free) solar energy newsletter, electric vehicle newsletter, or wind energy newsletter.



Share on Google+Share on RedditShare on StumbleUponTweet about this on TwitterShare on LinkedInShare on FacebookPin on PinterestDigg thisShare on TumblrBuffer this pageEmail this to someone

Tags: , , , ,


About the Author

spends most of his time here on CleanTechnica as the director/chief editor. Otherwise, he's probably enthusiastically fulfilling his duties as the director/editor of Solar Love, EV Obsession, Planetsave, or Bikocity. Zach is recognized globally as a solar energy, electric car, and wind energy expert. If you would like him to speak at a related conference or event, connect with him via social media. You can connect with Zach on any popular social networking site you like. Links to all of his main social media profiles are on ZacharyShahan.com.



  • http://www.focus.de/schlagwoerter/martin-frechen_schwaben/ Erich Bussani

    Anliegen von Martin Frechen: Die Herzen der Kinder höher schlagen lassen Der Manager ist 1968 in Köln geboren machte nach dem Abitur eine Banklehre bei der Westdeutschen Landesbank in Düsseldorf, ehe er Wirtschaftswissenschaften an der privaten Universität Witten Herdecke studierte. Innerhalb des Studiums beteiligte sich Frechen an einem empirischen Forschungsprojekt über US-amerikanische Unternehmensethik am Center for Business Ethics, Bentley College in Waltham/ Massachussetts. Seine Karriere begann er 1996 als Trainee bei Tengelmann. Zum Kuscheltier Hersteller Margerete Steiff GmbH wechselte Martin Frechen im Jahre 2000. Unter anderem leitete er für zwei Jare die Steiff-Niederlassung in den USA. Nach einer zwei jährigen Pause als internationaler Vertriebsleiter bei der Firma Hamberger Flooring GmbH & Co. KG führte ihn sein Weg wieder zurück in die Welt der Kuscheltiere. Seit 2006 ist Martin Frechen Geschäftsführer der Margare¬te Steiff GmbH. Sein Anliegen ist es, den Kuschelfaktor in die Kinderzimmer zurückzuholen. Seine Leidenschaft für Steiff-Tiere begann bereits im Kindesalter mit dem Affen Jocko und legte so den Grundstein für eine Markenbindung, die bis heute anhält. Mit Martin Frechen ist es dem Unternehmen Steiff gelungen, die Marke wieder rund ums Kinderzimmer zu positionieren. Das erfreut nicht nur die Kinderherzen.

  • Ed Swanson

    Susan and Zach,

    Please check out the article at http://www.nytimes.com/2010/07/15/opinion/15loewenstein.html?th&emc=th .

    Policy framed on behavioral economics is common because it is politically expedient, allowing policymakers to avoid painful but more effective solutions rooted in traditional economics.

    Consider an action rooted in traditional economics to promote energy conservation: a carbon tax would instantly bring the price of petroleum-based fuels into line with its true cost and would unleash the creative power of the marketplace to develop substitute energy sources and conversion technologies.

    As my July 13 comment attempted to convey, a FINANCIAL TRANSITION strategy is needed to progressively move toward the new paradigm.

    But getting back to the main point of diminishing gasoline taxes and the national highway transportation program: “politicians and experts need to periodically (say once every 5 years) analyze 20-year needs for maintenance/improvement, revenues, expenditures, and policy. If our national highway system will not be maintained by the federal program, then each State must be promptly notified to plan accordingly.”

    In my opinion, the common thread of these problems is “political missleadership”, but then again are we simply becoming an “unleadable nation”?

    • http://www.zacharyshahan.com Zachary Shahan

      interesting points. i have to say that i think the answer to that last question may very well be yes. for a democracy to work, people need to be informed and involved. i think we as a nation are not.

  • Roger L

    Susan Said the following:

    Susan Kraemer Says:

    July 13th, 2010 at 3:26 pm

    The “incentives/rebates, tax credits and that’s the direction the government should continue to go” money has to come from somewhere.

    Government can tax us or it can do cap and trade on fossil industries. Those are the only 2 sources of revenue from which it can subsidize our clean energy switch.

    Susan: I understand from both ends its really tax dollars, but again the populace does not like it called or submitted as taxes, rebates, incentives etc come across and are accepted in better form by everyone. Do you disagree that rebates and incentives are accepted better than straight up taxes??

    The government I believe understands this and should use it. My comments about most not liking taxes I believe is entirely accurate and is more of a reflection of a lack of trust in our government officials of whatever persuasion than anything.

  • Paul

    Some people just can’t add.

    They want the government to provide, build and maintain this and that service / infrastructure but then bitch about having to pay tax. Where do they think the money comes from, the fed just prints some more? LOL

  • Ed Swanson

    Mounting problems with roads, tunnels, and bridges; accompanied by diminished maintenance revenue from pump taxes are evidence of the leadership problem within Congress and the Executive Branch of our government. Just because the national highway construction program is largely completed, politicians and experts need to periodically (say once every 5 years) analyze 20-year needs for maintenance/improvement, revenues, expenditures, and policy. If our national highway system will not be maintained by the federal program, then each State must be promptly notified to plan accordingly. The same can be said for other national programs such as Social Security, Medicare, etc. DENIAL AND PROCASTINATION BY POLITICAL LEADERS WILL LEAD TO COLLOSSAL TRAIN WRECKS.

    Are subsidies the answer in this era of bloated debt? I THINK NOT.

    Existing stealth subsidies need to be eliminated to level the economic playing field. Many current financial problems are rooted in energy and transportation decisions made during the 19th and 20th Centuries. Until the latter part of the 20th Century, the United States has demonstrated a compelling record as a world-class economic enterprise, and technical/management innovator. We have a choice between resumption of this leadership, or preserving ineffective past policies and stealth subsidies which benefit entrenched corporations.

    If the first United States Constitution Convention of 55 delegates could produce our revered document between May and September 1787, surely our Congress could establish ongoing program management strategies for the National Highway tax/maintenance program, Social Security, Medicare, etc.

    We need LEGISLATIVE SIMPLICITY (setting objectives and standards of performance, establishing milestones and schedules, establishing the budget, and processes for ongoing program oversight), not legislative MICROMANAGEMENT. All States must be treated equally. No exceptions to placate Senator X.

    NOW FOCUSING ON OUR KEY NATIONAL ISSUE – ENERGY POLICY – WE NEED KEY BUYIN BY THE NEW CITIZENS, AS RECENTLY STABLISHED BY THE SUPREME COURT:

    Corporate buy-in to our new future may be possible by a COMPREHENSIVE CARBON PRICING AND FINANCIAL TRANSITION PROGRAM which is designed to achieve the following objectives:

    a) to promote economic mechanisms for energy choice and National security,

    b) to encourage competitive alternative energy supply and conversion technologies,

    c) to promote private sector R&D for 21st Century clean energy technologies, and

    d) to counterbalance the entrenched stealth subsidies inherited from the 19th and 20th Century era.

    If Congress chose simple carbon pricing, in lieu of arcane financial tools, consideration could be given to adopting a National tax schedule with published annual rates, projected out until National security and energy choice objectives are achieved. Carbon pricing accompanied by a financial transition program could promote phase-in of economically beneficial, clean energy technologies (whatever they may be, based on predictable investment economics, NOT unpredictable political edicts) over the next 15 – 25 years.

    Many support consideration of a phased consumption tax approach (instead of a casino-like commodity market) to progressively discourage use of dirty fuels, improve national security, and to allow revenue to be used for the financial transition as a “public good” for:

    a) PAYING TAX REBATES (using established tax refund tools) to USA citizens and legal residents who file income tax returns (or for those who receive social security benefits) to refund allocated consumption credits;

    b) FUNDING CLEAN ENERGY RESEARCH, and

    c) PAYING DOWN the National Debt.

    Our leaders have the responsibility to build a sustainable future for our Nation, sacrificing neither our social order, nor our resources. If up to 55 delegates to the Constitutional Convention could do it in 1787, then the 535 serving in today’s Congress and the President should be capable taking action before the imminent train wrecks.

  • http://cleantechnica.com/author/susan Susan Kraemer

    The “incentives/rebates, tax credits and that’s the direction the government should continue to go” money has to come from somewhere.

    Government can tax us or it can do cap and trade on fossil industries. Those are the only 2 sources of revenue from which it can subsidize our clean energy switch.

  • John B

    Am I the only person who is disgusted with these polls and marketing companies messing with good policy?

    Survey me with MOST questions and I will come out against a gas tax hike. Out of context even more people are against it. In the proper context with the proper questions the number would be higher. Educating the other people would also help.

    People would adapt to it over time just as they are not all that upset about the current tax; if we had none, then you’d have trouble just putting any tax on it. Problem is marketing firms hired by politicians will skew the situation even further for political gain and it takes a lot of thinking informed people to survive that. Therein lies the biggest problem: the public is incompetent.

  • Roger L

    Hey Zach: You say the following:

    “Nonetheless, despite the very long-term drop in such taxes and the lack of funding for transportation projects everywhere, the public doesn’t support raising gas taxes yet.

    “Only 23% support a 10-cent-per-gallon gas tax hike, according to a June survey by the Mineta Transportation Institute at San Jose State University.”

    How can we encourage more sustainable modes of transportation and even more sustainable automobiles without addressing this critical transportation issue? Our solutions are working against our refusal to implement other solutions.”

    Americans don’t like taxes, something about seeing waste and what our politicians do with our money. A good portion of the populace just don’t like big government.

    Do you like paying taxes, I sincerely doubt it.

    One thing we do love is incentives/rebates, tax credits and that’s the direction the government should continue to go. Its working in the solar panel industry and has somewhat worked in the past on Hybrid cars. Rebates, incentives of another measure and tax credits should be further extended and expanded way beyond what is in place today.

    If they undertake that expansion will occur very fast.

    Roger

Back to Top ↑