$5/gal gas? Yes Says Former Shell Exec

NOTE:  This story is a few weeks old.  12/28/2010

Gasoline rationing and $5 pump prices are predicted by 2012 for consumers if U.S. politicians don’t get their act together, a former Shell executive said.  …

John Hofmeister, a former president at Shell Oil, told the Platts news service that energy shortages and record-high gasoline prices were on the horizon because of high demand and ineffective governing.

“The politically driven choices that are being made, which are non-choices, essentially frittering at the edges of renewable energy, stifling production in hydrocarbon energy — that’s a sure path for not enough energy for American consumers,” Hofmeister told the news service.

He said 2012 might create “panic time” for U.S. lawmakers who are “suddenly” going to be pressed to rethink U.S. energy strategies.

“When American consumers are short or prices are so high — $5 a gallon for gasoline, for example, by 2012 — that’s going to set a new tone,” he added.

(Full story here.)

I read this story back in December, thought about posting it, then it passed.  With the news yesterday that Chicago has the highest gas prices in the country, my memory clicked and I went and found this gem.

Talk about killing the economy.  Since the 1980’s we’ve all been on the cheap energy economy.  Looks like that’s about to change.

Poor leadership across the board: federal, state, local governments have done nothing to assist the citizens at making sure that the we continued to get a good deal at the pump.

If $5/gal gas come to pass, you can bet the bank on a double dip of the great recession that will last another 10 years.