Pa GOP’s State Capitalism: The Shell Subsidy

By Bob Guzzardi

Efficient and economical energy production lowers the cost and raises the standard of living for all.

Free market pricing, where misallocations are penalized, is the most efficient system to develop energy. Government is not a venture capitalist.

What the government giveth, the government taketh away. With Act 13 of 2012, the Republican General Assembly and Governor imposed at tax, obscuring it with the rhetorically inaccurate description “Impact Fee” which distributes tax revenues to all counties including counties, like Philadelphia and Bucks which have banned Marcellus Shale drilling (see Act 87 of 2012 below)  and on the very same day, Feb. 14, 2012, the same Republican General Assembly and governor gave billion dollar private business Shell Oil a huge tax break by targeting a tax free “Keystone” zone for a Shell Cracker plant. 

Again, with Act 85 of 2012 and on the same day, July 2, 2012, Republican Leadership again “privileges”, as the Leftists say, Shell Oil with billions in tax subsidies.

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