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Warren on proposed gas tax holiday: ‘That’s not the approach I would use’

Sen. Elizabeth Warren (D-Mass.) addresses reporters before the weekly Senate Democratic policy luncheon on Tuesday, May 24, 2022.

Sen. Elizabeth Warren (D-Mass.) pushed back against President Biden‘s proposal to implement a gas tax holiday to combat soaring fuel prices.

“Look, I’m deeply, deeply sympathetic to the fact that families are paying a lot at the pump,” Warren told CNN anchor John Berman on “New Day.”

“But I always remind myself on this that the last time that a barrel of oil cost what it costs right now, that gasoline itself was about a $1.50 cheaper at the pump, so a big part of this is about concentration in the oil industry and price gouging.”

Warren argued that the best way to deal with the high gas prices is to look at “the longer arc of what drives prices” and respond to those individual issues — like price gouging or worker shortages — directly.

“We’ve got a lot of tools at our disposal. Those are the tools we need to be using,” Warren added.

When Berman pressed the Massachusetts senator on whether she would support a gas tax holiday, Warren said that’s “not the approach [she] would use.”

“I would use a more systemic approach,” Warren added.

The senator’s comments come after Biden called on Congress Wednesday to suspend federal and state taxes on gasoline. The federal gasoline tax is 18 cents per gallon, while state gas taxes average about 26 cents per gallon, according to the American Petroleum Institute

Leaders from both sides of the aisle have already voiced opposition to the idea since Biden made the announcement, arguing that it will not be an effective solution.

Speaker Nancy Pelosi (D-Calif.) declined to endorse the proposal when asked about it Wednesday, and Senate Minority Leader Mitch McConnell (R-Ky.) denounced the idea as an “ineffective stunt.”

The national average gas price has soared in recent months due to inflation and the Russian invasion of Ukraine. In recent weeks, the national average of gas per gallon hit $5.