DALLAS (WBAP/KLIF) – President Joe Biden will make an announcement this week about a federal gas tax holiday, which will temporarily remove taxes on gas prices. Oil and gas expert Ken Morgan thinks it’s just putting a band-aid on the problem despite saving 18 and a half cents a gallon.
“They’re not going to believe this is going to solve much and it puts us again.. kind of behind the eight ball on solving the problem,” said Morgan.
Furthermore, Morgan says if the federal holiday is approved it will be like borrowing from the government which could lead to more problems.
So far, several states including Florida and Connecticut have applied for it. Morgan says this is good for states who can afford it but other states will only see a short-term solution.
“I just think it’s a feel good thing, but again it doesn’t help us get on track for six months to a year down the road,” he said.
Morgan continued on saying with gas prices getting higher, this federal tax holiday wouldn’t help the U.S. economy stay on track in the long-term. He offers a different solution to the federal gas tax, saying it will be better to stabilize prices if the U.S. fast-tracked refinery expansion instead of imposing a gas tax holiday.
“We’re going to fast-track LNG faculties, we’re going to fast-track exploration. That would send a message that would ease the pain at the top of these prices,” he said.
Morgan says that would be a better solution for high gas prices. So far, president Biden hasn’t made an announcement yet on applying the federal tax holiday.
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