I think everyone can understand the cost at the pump when world market-priced imported oil is at $120+ per barrel.
According to a recent article in the Detroit Free Press, "Crude oil prices account for 72% of the price of a gallon of gasoline, with the rest coming from refining, transporting and taxes".
Now, what I don't understand is, what about oil pumped from United States public lands and territories? Oil pumped from U.S. public lands (oil that belongs to you and me) should not be priced at world market levels. It should be priced at U.S. market levels - certainly way less than $120.00/barrel.
According to Brian Schwitzer, Governor of Montana, there is enough coal in the U.S. that, when converted to petroleum, would replace all imported oil for the next 200 years (at current import levels of 4 Billion barrels annually). Current coal/oil conversion costs are between $40 & $50 per barrel. We could be energy independent within a few years, once all of the syn fuel plants came online. OPEC be damned.
Global warming and its related carbon tax nonsense could change everything. That's why large-scale coal conversion isn't being done as we speak (There is already one small plant in North Dakota and another that currently supplies the U.S. military). The investors don't know what will develop with upcoming carbon tax laws, and won't invest till they know how bad Congress will hit them with new carbon (CO2) taxes.
Congress is proposing $18,000,000,000 in new energy taxes..... Congress at work for the American people...
Jim