New Zealand is facing the same problem, half of what we pay in petrol are axes. And since we've agreed to sign up to Kyoto Treaty we're going to be taxed more. And some areas are going to get even more taxes so they can build roads and stuff. But I am not in favour of cutting taxes, nor in freezing them Cutting taxes just because the price of oil is high, is ridiculous. Putting more taxes on is even more stupid. I say leave taxes alone but don't cut them. Because lets face it, many scientists agree that we've reached peak oil, that means oil has reached the stage where we're using more and no longer finding as much oil to replace the oil we are using. Thus oil prices are going to remain high for years to come, what needs to happen therefore, is for people to learn to conserve oil consuption wherever possible. And high oil prices should in the long term, make more demand for automotive technology that lowers actual consumption and new technologies that decreases the use of oil or ultimately where we can go in a car and not pay any petrol.
The fact is, oil is going up, up, up and up and there isn't a lot that governments can do about it.