Congressman's Column by Adrian Smith

Rising Fuel Costs Hurt Our Economic Engine Earlier this year, I warned my colleagues in Congress that inaction on energy - even when prices are low - would leave our economy vulnerable in the long-term. Yet as I write this gasoline prices have climbed for seven full weeks - making 49 straight days families, farmers, ranchers, and small businesses have had their pocketbooks stretched even further during this time of economic uncertainty. Gasoline prices have risen at an unprecedented pace this year, pushing the average pump price in Nebraska to $2.69 a gallon. In Grand Island, prices ranged from $2.58 to $2.65. In Tryon, consumers paid $2.78. Gothenburg drivers paid $2.54 for unleaded while those in Lexington paid $2.65 and Scottsbluff and Alliance drivers both saw $2.58 a gallon for regular at their local gas stations. Since early January, the nationwide average price of a gallon of regular gasoline has climbed from $1.68 to $2.64, up 56 percent according to the United States Department of Energy. Just this month alone, the price of a gallon of regular unleaded climbed 38 cents. With fuel costs soaring still faster in other parts of the United States - and the memory of $4.00 a gallon gasoline still lingering in many minds from last summer - the steep increase of the price at the pump is a serious threat to our nation's economic recovery. For the impact increasing fuel prices can have on our economy, one need look no further than to our nation's truck drivers, who transport food and other products on behalf of agriculture producers and small businesses across the country. In testimony before the House Subcommittee on Energy and the Environment, the American Trucking Association's First Vice-Chairman Tommy Hodges criticized the American Clean Energy and Security Act of 2009 (H.R.2454), legislation currently making its way through Congress which threatens to significantly increase fuel costs and jeopardizes the economic viability of trucking companies. Hodges pointed out American truck fleets are extremely sensitive to rapidly shifting operating costs given their thin operating margins. Leaving truck drivers exposed to sudden and dramatic fuel prices would not only mean higher costs for the trucking industry, but also higher price tags for fuel, food, and other products for consumers. At a time when costs of living are steadily inching upward and people across the country are struggling to make ends meet, higher fuel prices is a headache middle class families don't need. Washington shouldn't be making it worse by rushing through national energy legislation imposing enormous taxes and restrictions on energy use - placing an especially heavy burden on rural America and our nation's agriculture producers. Recently I have co-sponsored the American Energy Act, legislation which represents the fastest route to a cleaner environment, lower energy costs, and more American jobs. The legislation would increase environmentally-safe American energy production, promote the use of alternative fuels which will reduce carbon emissions - such as nuclear, clean-coal, and renewable energy technologies - and encourage increased efficiencies and cutting edge technologies to maximize America's energy potential. As Americans pay more and more at the pump every day, isn't it time for Congress to move away from plans which will make everything from gasoline to electricity to food more costly?