Costs of Production

But if you were just examining recent press releases and interviews, you might get the mistaken impression that punishing oil companies was the principle plank in the Democrats' energy platform. And while there might be good reasons to eliminate the oil industry's special treatment in the federal budget and tax code, it's impact on the cost of gasoline is not among them. That's because it would increase gas prices not lower them. I believe it's still an immutable law of free market economies that if the costs of producing and selling a commodity increase, the price charged customers will as well.
http://www.realclearpolitics.com/articles/2011/04/28/cynic_in_chief_109684.html