On February 3, 1868, petroleum refiners from the Oil Creek region gathered at Petroleum Center, Pennsylvania, passing a formal resolution calling for the repeal of the Civil War–era "war tax" on refined petroleum. The tax charged $1 per 42-gallon barrel of products such as kerosene — a steep levy at a time when kerosene often sold for only a few dollars per barrel. Originally introduced to help finance the Union war effort, the tax remained in place years after the conflict ended.
By the late 1860s, the burden had become significant. Pennsylvania refineries were producing millions of barrels of kerosene annually, much of it destined for domestic lighting and growing export markets. Refiners argued that the tax inflated consumer prices, reduced competitiveness abroad, and discouraged investment in improved refining technology at a time when petroleum demand was accelerating rapidly across the U.S. and Europe.
