Senior Biden administration officials are floating a plan to send Americans ‘rebate’ cards to help bring down the soaring costs of gas that are hitting drivers this summer while also dampening assessments of the overall economy.
The plan, which had previously been under consideration, comes as the administration is anxious to show movement on an issue Biden has called his top priority.
Biden wrote oil companies demanding they refine more oil, Press Secretary Karine-Jean Pierre said it was their ‘patriotic duty’ to do so, and Biden signed new shipping legislation he said might lower costs on the margins.
The latest idea is getting a ‘second look,’ the Washington Post reported, and would provide at least some relief, after prices have hit $5 per gallon, with a $2 increase from a year ago, with most of the jump coinciding with Russia’s attack on Ukraine.
The Biden administration is considering sending rebate cards to Americans to help lessen the impact of gas price increases
But it is already running into roadblocks. In a hangup that encapsulates the challenges of 2022 amid the ongoing pandemic, aides have discovered that ‘shortages in the U.S. chip industry would make it hard to produce enough rebate cards,’ according to the Post.
Officials have also raised concerns there may be no way to prevent people from blowing the gift cards on other purchases. Even gas stations routinely sell chips, sodas, lottery tickets, and all manner of goods.
If would likely require congressional approval, meaning Senate Republicans could try to filibuster an idea that might provide Biden a boost in the run-up to congressional elections.
Biden economic advisor Cecilia Rouse did not dismiss the idea when asked about it on CNN Friday.
‘All options are on the table,’ she said when asked about it.
‘All options are on the table,’ said Chair of the Council of Economic Advisers Cecilia Rouse
The effort comes amid record gas prices
Gas prices have hit $5 per gallon during peak summer driving
White House Press Secretary Karine Jean-Pierre said it was the ‘patriotic duty’ of oil companies to produce more product
‘We want to address the price of gas and oil so that people can fill up their cars and heat their homes – and cool their homes down in the summer,’ she said.
She referenced Biden’s move to tap the Strategic Petroleum Reserve and allowing a boost in the Ethanol content of gas.
She said Biden was ‘looking at other options for getting more gas and oil onto the market. So all options on the table.’
She also spoke favorably of asking more states to waive gas taxes amid the crunch.
‘So the President is open to all ideas,’ she said.
Rouse didn’t mention it, but Biden once again defended the decision to visit Saudi Arabia next month, as well as meeting with Crown Prince Muhammad bin Salman. The White House has already said oil will be on the agenda when Biden meets with a group of world leaders.
‘The same way I’ve been handling it. I’m not going to meet with MBS. I’m going to an international meeting and he’s going to be part of it,’ Biden said.