The Lady Speaks

Oil Companies and the High Price of Gasoline

Is there anyone in the US who isn't complaining about the high cost of fuel and – until recently – the high cost of home heating? Okay – anyone who isn't a) mega-rich or b) linked to Big Oil?

Big Oil shared its first-quarter profit sheets with the world, and – surprise – they're seeing record profits. Here's a few:

Chevron$4 billion profit

Exxon $8.4 billion profit

ConocoPhillips$3.29 billion profit
BP$5.6 billion profit

And, remember, this is profit. This is what's left after all the expenses are taken out.

Can someone explain how this works? Big Oil (and its friends in the White House) are telling us that this is just a result of high demand and low supply and/or refining capabilities, and that they're suffering too.

But, they're seeing record profits, which would suggest to me that they could afford to lower their prices and still make a few bucks. Especially since their little buddy Bush isn't going to make them pay taxes on their record profits.

From Business Week online:

President Bush on Friday rejected calls in Congress for a tax on oil company profits, saying the industry should reinvest its recent windfalls in finding and producing more energy.

"The temptation in Washington is to tax everything," Bush said in an exchange with reporters in the White House Rose Garden. Rather than for the government to reap the benefit from oil company profits driven by the recent surge in global oil prices, he said, "the answer is for there to be strong re-investment."

"These oil prices are a wakeup call," Bush said. "We're dependent on oil. We need to get off oil."

He doesn't really mean that part about getting off oil, of course. He said the same thing in his State of the Union address, but then turned around and issued a clarification that said he didn't really mean cutting our oil consumption.

These prices are a wakeup call, alright – the one that says the faster we get Big Oil and its buddies out of the White House, the better.

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April 29, 2006 - Posted by | Bush, Cheney, Congress, Culture of Corruption, Economy, Gas Prices, Government, Politics, White House

2 Comments »

  1. My morning coffee was interrupted by the news: “$4.00 a gallon gas, possibly as high as $5.00 in the next six months…” Then a host of entitled folks arguing it will be good that gas goes up to $4.00. Liberals saying: “It will force us to rethink alternative energies.” Neoconservatives saying: “Now Congress will be forced to open ANWR”.

    Maybe it’s time for a Middle Class Revolution. Kick the elitists out of Washington – Republicans and Democrats alike. Form a new government. Hold a Constitutional Convention to limit the powers of these people. Term limits on Congress to start. Manditory death sentences for breach of the public trust for a second.

    Comment by Josh_Alpharetta | April 30, 2006 | Reply

  2. Time to go get gas…..oh ok, lemme bend over…….

    Comment by Quesiongirl | May 3, 2006 | Reply


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