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Posted by theloneranger100@aol.com on April 3, 2008, 5:31 pm
> Oil chiefs say high prices not our fault
>
> By H. JOSEF HEBERT, Associated Press Writer 1 minute ago
>
> WASHINGTON - Don't blame us, oil industry chiefs told a skeptical
> Congress. Top executives of the country's five biggest oil companies
> said Tuesday they know record fuel prices are hurting people, but they
> argued it's not their fault and their huge profits are in line with
> other industries.
> ADVERTISEMENT
>
> Appearing before a House committee, the executives were pressed to
> explain why they should continue to get billions of dollars in tax
> breaks when they made $123 billion last year and motorists are paying
> record gasoline prices at the pump.
>
> "On April Fool's Day, the biggest joke of all is being played on
> American families by Big Oil," Rep. Edward Markey, D-Mass., said,
> aiming his remarks at the five executives sitting shoulder-to-shoulder
> in a congressional hearing room.
>
> "Our earnings, although high in absolute terms, need to be viewed in
> the context of the scale and cyclical, long-term nature of our
> industry as well as the huge investment requirements," said J.S.
> Simon, senior vice president of Exxon Mobil Corp., which made a record
> $40 billion last year.
>
> "We depend on high earnings during the up cycle to sustain ...
> investment over the long term, including the down cycles," he
> continued.
>
> The up cycle has been going on too long, suggested Rep. Emanuel
> Cleaver, D-Mo. "The anger level is rising significantly."
>
> Alluding to the fact that Congress often doesn't rate very high in
> opinion polls, Cleaver told the executives: "Your approval rating is
> lower than ours, and that means you're down low."
>
> Several lawmakers noted the rising price of gasoline at the pump, now
> averaging $3.29 a gallon amid talk of $4 a gallon this summer.
>
> "I heard what you are hearing. Americans are very worried about the
> rising price of energy," said John Hofmeister, president of Shell Oil
> Co., echoing remarks by the other four executives including
> representatives of BP America Inc., Chevron Corp. and ConocoPhillips.
>
> While Democrats hammered the executives for their profits and demanded
> they do more to develop alternative energy sources such as wind, solar
> and biofuels, Republican lawmakers called for opening more areas for
> drilling to boost domestic production of oil and gas.
>
> What would bring lower prices? asked Rep. James Sensenbrenner of
> Wisconsin, the committee's ranking Republican
>
> "We need access to all kinds of energy supply," replied Robert Malone,
> chairman of BP America, adding that 85 percent of the country's
> coastal waters are off limits to drilling.
>
> But Markey wanted to know why the companies aren't investing more in
> energy projects other than oil and gas -- or giving up some tax breaks
> so the money could be directed to promote renewable fuels and
> conservation and take pressure off oil and gas supplies.
>
> "Why is Exxon Mobil resisting the renewable revolution," asked Markey,
> noting that the other four companies together have invested $3.5
> billion in solar, wind and biodiesel projects.
>
> Exxon is spending $100 million on research into climate change at
> Stanford University, replied Simon, but current alternative energy
> technologies "just do not have an appreciable impact" in addressing
> "the challenge we're trying to meet."
>
> The appearance Tuesday before the Select Committee on Energy
> Independence and Global Warming was not the first time that oil
> executives had faced the harsh words of a lawmakers frustrated over
> their inability to do anything about soaring oil and gasoline costs.
>
> In November 2005, executives of the same companies sought to explain
> high energy costs at a Senate hearing at which Hofmeister emphasized
> the cyclical nature of his industry. "What goes up almost always comes
> down," he told the senators on a day when oil cost $60 a barrel.
>
> About six months later, the executives were grilled again on Capitol
> Hill when a barrel of oil cost $75. As the three-hour House hearing
> came to a close Tuesday, the price of oil settled at just over $100 a
> barrel on the New York exchange.
>
> "We face a new reality, volatility, high prices, greater competition
> for resources," said Peter Robertson, vice president of Chevron Corp.,
> adding that he understands that "Americans see the pain" of $100-a-
> barrel oil.
>
> Markey challenged the executives to pledge to invest 10 percent of
> their profits to develop renewable energy and give up $18 billion in
> tax breaks over 10 years so money could be funneled to support other
> energy and conservation.
>
> They responded that their companies already are spending on
> alternative energy projects and argued that new taxes would dampen
> investment and could lead to even higher prices.
>
> "Imposing punitive taxes on American energy companies, which already
> pay record taxes, will discourage the sustained investment needed to
> continue safeguarding U.S. energy security," said Simon. He said over
> the past five years Exxon Mobil's U.S. tax bill exceeded its U.S.
> earnings by $19 billion.
>
> Markey was not impressed.
>
> "These companies are defending billions of federal subsidies ... while
> reaping over a hundred billion dollars in profits in just the last
> year alone," he said. The companies are reaping "a windfall of
> revenue" while poor people have to choose between heating and eating
> because of high energy prices.
>
> Elsewhere on Tuesday, many independent truckers parked their rigs and
> others slowed to a crawl on highways to protest high fuel prices. The
> demonstrations were only scattered, but long lines of trucks were
> moving at about 20 mph on the New Jersey Turnpike, and three drivers
> were ticketed for impeding traffic on Interstate 55 outside Chicago,
> driving three abreast at low speeds.
Sure, even a murder said its' not his/her fault..
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