Ryan calls for ending oil subsidies
House Budget Committee Chairman Paul Ryan called for ending oil subsidies Thursday, further complicating Republican efforts to stay on message about rising gas prices.
The Wisconsin Republican told constituents at a Waterford, Wis., town hall meeting that he agreed that federal oil subsidies ought to end.
“We’re talking about reforming the safety net, the welfare system; we also want to get rid of corporate welfare. And corporate welfare goes to agribusiness companies, energy companies, financial services companies, so we propose to repeal all that,” Ryan said in response to a question about oil subsidies.
A video of Ryan's town hall meeting was circulated by Think Progress, a blog run by the liberal-leaning Center for American Progress Action Fund.
In a statement to POLITICO, Ryan’s office said the House-passed budget resolution “clearly states that as part of an overall corporate tax reform, tax loopholes and deductions for all corporations should be scaled back or eliminated entirely. That obviously includes oil companies. Elsewhere, we state that subsidies for all energy companies need to be reduced or eliminated so that we can get government out of the business of picking winners and losers in the market.”
Ryan’s comments come as Republicans are trying to quell the political furor caused when House Speaker John Boehner left the door open to hiking taxes on oil and gas companies, telling ABC News Monday that Congress "certainly oughta take a look at it."
Democrats quickly pounced on the opportunity, issuing statements commending Boehner for seeing the light on the issue.
Boehner’s office and other top Republicans quickly tried to get back on message, saying they aren’t interested in eliminating the tax breaks — which they argue would lead to higher gas prices because companies would just pass on their higher costs to consumers.
This article first appeared on POLITICO Pro at 5:06 p.m. on April 28, 2011.