I would like for the federal government to push for alternative biofuels for the future to: (A) End or at least ease our dependence on foreign oil and (B) to put the oil companies into a position where they don't have the American people by the nose. I would seriously hope that the fedgov would see to it that those companies have no investment potential in biofuels or any other alternative means of energy.
I hate to break this to you but the oil companies are already involved in biofuels. Today I worked at home putting together inter-division documents that addressed this very thing for an oil company.
Why are the oil company profits up? Oddly enough because the cost of crude doubled. The company has set a reasonable return for every dollar spent, lets say 10% but it is actually less. If they want to make 10% on every barrel of oil they buy at $50 then their profit goal is $5.00 per barrel. If they maintain that margin and the price of oil doubles to $100 per barrel then their profit goes up accordingly to $10.00 per barrel. The knee jerk adolescent thumb sucker reaction to high gas prices is to blame the “Man”. There are some men that should be blamed for one thing or another but the fact is crude oil and be produced in the middle east for $5 per barrel and they are selling it at $70. Who is really gouging? Add in that NC residents pay 45 cents per gallon tax, almost 20% at 2.50.
