This has to rank as the most absurd offer ever. General Motors Corp. is promising gas-guzzler buyers in Florida and California that they will "cap" gas costs at $1.99 per gallon.
The Miami Herald has the story here.
The deal's pretty simple: buy a selected model (the cars no one wants because they get two miles to the gallon) plus OnStar, the electronic, vehicle-embedded Big Brother service, and GM will reimburse customers the difference between $1.99 per gallon and the cost of premium grade gas.
Each month for one year, GM will give drivers a credit on a prepaid card based on their estimated fuel usage. Fuel usage will be calculated by the miles they drive, as recorded by OnStar, and the vehicle's fuel economy rating.
GM will credit drivers the difference between the average price per gallon in their state and the $1.99 cap. The credits can be used through December 2007. Consumers will not get any credits if gas prices fall below $1.99.
So gas-guzzling SUV's which are already tax-supported, will now be corporate supported. It would almost seem that someone who can afford a $39,000 Tahoe could afford to buy gas for it.
What's good for General Motors is good for the USA. Can fuel price controls (remember Nixon's wage and price controls?) be far behind?