Trump’s New Tax Policy Could Put an End to Jerry Brown’s Anti-Fossil Fuel Activism
While the whole country is riding the wave of cheap and plentiful natural gas (because of oil shale which the left loathes since they want us all in public busses or on bikes), California decided to ‘go green’ and embrace electric vehicles by offering tax credits and imposing heavy gas taxes. However, if Trump’s new tax policy is implemented, the state could be in trouble, as the new policy intends to scrap the tax credits given to electric vehicles.
California’s Anti-Fossil Fuel Policies
Under Jerry Brown, California has been pursuing vigorous anti-fossil fuel policies, despite the fact that they do not benefit the people in the state or the country for that matter. Brown is as liberal as they come – he is a champion of illegal aliens (rapists or not), is against fossil fuels, and of course, like every other liberal in the country, hates Donald Trump because Trump wants to give the power back to the people which he has already been doing as he promised to do.
California is sitting on billions of dollars of oil shale but since the left does not care about America or the middle class, like its bankrupt partner New York, it is choosing to ignore oil shale development. California would rather have a weak middle class and have thousands of people on food stamps when that is not necessary.
In 2012, Brown announced that California will have at least 1.5 million electric vehicles by 2025. He relies on two things to achieve the goal. Firstly, the Plug-In Electric Drive Vehicle Credit, which is a federal program that offers $7,500 as tax credit to people who buy electric vehicles. On top of it, the state also offers $2,500 for such customers.
Secondly, California has the highest gas tax in the country at $0.52 cents per gallon. The idea is to make fossil fuel based vehicles unaffordable for people so that they would switch over to electric vehicles. At a time when gas prices are at an all-time low, this move seems completely unnecessary, but then liberals have never been known for their pragmatism, so it is not really surprising.
Even with these incentives – most people who live in that state still cannot afford these plug in vehicles. These policies hurt the lower and middle class groups in this state but rich white environmentalists who live in San Francisco and Santa Barbara do not care.
The New Tax Bill – Trouble for California
The new tax bill proposed by Trump seeks to eliminate the tax credit for electric vehicles completely. As part of his move to revive the fossil fuel industry, which was gutted due to excessive regulations under the Obama administration, Trump is planning to reduce the perks offered to the green industry and provide more support to coal and natural gas, both of which are crucial to our energy needs.
Without the $7,500 tax credit, Brown might find it hard to persuade the people in his state to buy electric vehicles. Hong Kong underwent a similar problem in the recent past. The country revoked tax credits for electric vehicles, after which people simply lost interest in buying them.
It is the same case everywhere. Given a choice, under normal circumstances, a person would always choose a regular vehicle over an electric vehicle, because the latter is not nearly as powerful, does not have enough refueling stations, and is expensive without tax credits.
Reality Check for California
The tax bill, if passed without any changes, could be a reality check for California. Jerry Brown might realize that without attractive tax credits and a little bit of coercion from the state, it is very hard to convince people to buy electric vehicles. He might also realize that he cannot undermine the President’s decision and go against public sentiment every time and expect to win. For this reason alone, Trump’s new tax bill needs to be passed through Congress without any significant changes.
There is one good thing for those who like electric vehicles. Because of the regulations against coal being dropped, electrical prices should drop since there is more competition in the sector now. Cheaper electrical prices means you can charge up your electrical vehicle for a lower price. Either way, Trump is right!
Now when you can charge up your electrical vehicle in 10 minutes or less, that will be the ultimate game changer!
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