BestOfBid.com - Why are republicans selling the American people to Big Oil? Real Energy independence or Big money for them?

Why are republicans selling the American people to Big Oil? Real Energy independence or Big money for them?

Republicans blocked a proposal Thursday to tax the oil industry an additional $29 billion, while the Senate moved closer to an agreement on raising automobile fuel economy for the first time in nearly 20 years. The tax package was aimed at channeling billions of dollars to subsidize windmills, hybrid cars and other alternative energy resources. But many Republicans said it was too harsh on the oil industry and could lead to less production and higher gasoline prices. The struggle over the tax provision signaled that Democrats may have a hard time pushing through the broader energy bill, which tilts heavily toward promoting energy conservation and renewable fuels and away from support for traditional fossil fuels. As the debate over taxes reflected the Senate's division, senators were said to be close to completing work on a compromise on automobile fuel economy that would garner enough votes to overcome strong auto industry opposition. Senate Majority Leader Harry Reid, D-Nev., chastised Republicans for caving into pressure from oil companies in blocking the tax provisions, but said he planned to press forward with the overall energy legislation, hoping to finish late Friday. "We have (auto fuel economy) standards in this bill. This is a good bill. There's a lot of good stuff in this bill," said Reid. He said work was under way on a compromise aimed at gaining wider support. "I can live with either one of them," Reid told reporters. The talks were believed to be close to an agreement that would require automakers to increase the fuel efficiency of new vehicles to 35 miles per gallon by 2020, but abandon a provision that would have required 4 percent annual efficiency improvements after that. The automakers had complained vigorously about the 4 percent increase, saying they would be required to meet 52 mpg for cars and SUVs by 2030, a mandate they said they couldn't meet. A group of senators, including Michigan Democrats Carl Levin and Debbie Stabenow, have pressed for consideration of an even less stringent proposal that would let SUVs and small trucks achieve just 30 mpg and postpone the mandate to 2025. On taxes, Democrats came three votes shy, 57-36, of the 60 votes needed to overcome a threatened GOP filibuster and add the massive tax package to the energy bill. It called for $32 billion in tax breaks for renewable and clean energy programs and energy conservation, all but about $3 billion paid for by oil taxes. Republican senators contended that the nearly $29 billion in additional taxes over 10 years on major oil companies would have led to reduced production and higher gasoline prices, an argument Democrats rejected, noting the largest oil companies earned $111 billion last year. Reid said the industry stood to make $1 trillion in profits over the 10 years when the $29 billion in new oil taxes would have been collected. He expressed doubt the measure could be revived and put onto the Senate bill, but left open getting it added later, probably when Senate and House versions will be consolidated. "It's not over," said Reid. A $16 billion tax package — largely mirroring the priorities in the Senate legislation but smaller — advanced from the House Ways and Means Committee on Wednesday, to be added to a House energy bill later this summer. The massive tax measure marked a sharp turn from longtime congressional support of the oil industry to promoting alternative energy development and moving toward energy sources that would help deal with the growing concerns over global warming. But Republicans said it tilted too far in favor of renewables and conservation at the expense of the oil companies. "When you put a tax on a business it gets passed on to consumers," argued Sen. Jon Kyl, R-Ariz. "Instead of reducing gasoline prices, this bill is going to add to the cost of gasoline." Sen. Max Baucus, D-Mont., whose Finance Committee crafted the tax package, said the incentives for renewable and alternative fuels would "help wean ourselves away from OPEC ... from these very high gas prices." The tax changes would have channeled $11 billion over 10 years into development of renewable fuels such as ethanol, biodiesel and power from wind turbines. It provides an additional $18 billion in other tax breaks — from tax credits to clean and renewable energy bonds — to support improvements in energy efficiency, clean coal technology, development of gas-electric hybrid cars that could be plugged into the national power grid and other alternative energy programs. It would have rescinded a tax break given to oil companies in 2004 that was primarily aimed at helping domestic manufacturing; increased taxes paid under an oil spill liability law; and eliminated existing tax credits involving foreign oil production. Another measure also would have imposed a new excise tax on oil produced from the Gulf of Mexico to recoup $10.7 billion in royalties the government has been unable to retrieve because of flawed oil leasing contracts issued in 1998-99

Public Comments

All anyone has to do is Remember Enron and Cheney's meeting. It's a scam just like every thing Rep's do.
Again--how is taxing an oil company going to make OIL cheaper? I want Exxon to make lots of money--my 401k has a lot of stock in EXXON. if you have one---it probably has exxon in it too. Why do you want the government to TAX your investment and then turn around and give your money back in the form of a government check. That is very generous of them. if Exxon has been following the rules then why do you want to impose a punitive tax on them.
post a conspiricy documentary on youtube so i can ignore it.
Free Enterprise is free enterprise, other wise we would be commutists or socialists. Only the Liberals think that people who knew how to make it in life should have it took from them. By the way I am very low income, but believe in free enterprise. It's MY fault I'm a 60 year old broke lady.
That was a stupid proposal that discourages oil exploration IN THE US. Libs do EVERYTHING to discourage that, including not drilling in 0.000000000% of alaska, because it might upset the mosquito herds. Libs are the best allies of the middle east oil shieks.
kejjer – Oil is never going to get cheaper. This is not like the 1970s, it’s international supply and demand—boosted by Republican buffoonery, incompetence, ignorance, and greed. Honestly, how has your 401K done over the last 2 years? Regardless, it would have done better had you moved your investments to Europe and Asia funds. === thomas -- From 2001-2007, Republicans (and, therefore, the oil companies) had absolute power and a blank check to do whatever they wanted. If they wanted to drill or build refineries they could have. It was their choice not to. They are the ones who created this situation. Environmentalists have no power, the oil companies and Republicans just like to pretend they do so they can have someone to blame.
Note that when they mention profits they fail to show them as a percentage. Exxon has modest profits in reality, being only about 7 or 8%. Much smaller than grotesque operations like Planned Parenthood who charge the taxpayers several million per abortion and make billions and billions a year. Nevertheless, it's obvious that the democrats like high gas prices and care nothing about the average person having to pay so much to fill their cars. I know they're heavily invested in the oil companies, but their agenda is mostly for power over the people. We need to wake up to these socialists. Over 75% of the country wants us to leave the oil companies alone so they can drill more oil and lower the prices. Why are the Democrats so out of touch with the wants of the people? Oh, wait, I already answered that. They only care about power and money and basically have total disdain for the poor and middle class. Good to know, but now we have to get them out of office as quickly as possible. Since the Democrats took over congress, the economy has gone down and gas prices have gone up. Just a taste of what will happen if the Obama puppet gets into power.