Posted on 11/27/2021 6:22:24 PM PST by Enlightened1
The Biden-Harris administration issued a report Friday to increase the price of oil leasing fees on federal lands in the United States by 50 percent—even while accusing oil companies of artificially increasing prices through illegal and anticompetitive actions.
Despite record-high gasoline prices impacting American families across the country with winter around the corner, the Biden-Harris administration is recommending Congress hike the cost of oil leases on government lands from 12.50 percent to 18.75 percent.
The 6.25 percentage point royalty rate increase on oil companies would contradict the administration’s promise to lower gasoline prices. In recent weeks, the Biden-Harris administration has asked OPEC to increase oil supplies and requested the Federal Trade Commission conduct an investigation into oil companies for “anticompetitive behavior.”
The rate increase, according to the New York Times, would generate about an extra “$2.5 billion in new revenue by the end of the decade,” which oil companies would pay to the federal government, though consumers would absorb the increased cost the companies incur. So far, the Biden-Harris administration has collected $1.6 billion more from oil leases in 2021 than in 2020.
An increased royalty rate would be the first rate hike since 1920 and would fulfill President Biden’s campaign promise to global warming activists and the far-left.
After taking office, Biden threatened American energy independence by mandating a temporary ban on oil leases until Friday’s report was issued. But after 13 states sued and overturned the order, “Shell, BP, Chevron and Exxon Mobil offered $192 million for the rights to drill” in the Gulf of Mexico.
(Excerpt) Read more at breitbart.com ...
They are not fees. It is called royalty. The portion of the well that the government gets. In most places, quarter royalty is common.
“Accusing ‘Big Oil’ of Anticompetitive Activities”
Big Oil my fanny. Put the largest multinational energy companies together and they control 7% of the market.
Who controls the most? Governments.
Yes, today’s GOVERNMENT beast is the most anti-competitive, monopolistic organization anywhere on God’s Green Earth.
High energy prices are a Biden administration policy.
Why exactly do we need a federal government?
DON’T LET FAUCI & his FELLOW FRAUDS FRIGHTEN or FOOL YOU AGAIN!!
https://seekingalpha.com/news/3774704-doctor-who-helped-detect-new-covid-19-variant-calls-its-symptoms-unusual-but-mild-the-telegraph
Watch for Joe Hugo Chavez Biden to nationalize oil.
It's the portion that we, the taxpayers who own the land, get.
Technically, yes. So, the Grooper is looking out for us.
They will keep throwing these deadly “commie” controls, as long as we sit and take it.
There will be no peace without fear, until we stop their evil deeds or until Jesus returns.
Show your work. In my experience, a 1/4 royalty is unheard of unless the royalty is burdened with the cost of chillers, separators, transport, and other enhanced recovery costs that traditionally were considered as LOE. All of that notwithstanding, the idea that this will raise revenue is illusory. Bidders will consider the increased royalty costs due to the higher royalty rate when preparing their bids, and will reduce their lease bids accordingly.
I’ll leave you to that.
The bookie is taking bets he pull a Venezuela the government takes over all the oil drilling businesses.
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