Oil Companies Should Not Profit at Consumer Expense
Press Release
Oil Companies Should Not Profit at Consumer Expense
With consumers facing record prices at the pump and oil companies earning record profits, Congresswoman Rosa L. DeLauro (Conn.-3) introduced legislation to prevent excessive profiting by oil companies, directing the revenue to renewable and alternative energy efforts - the Windfall Energy Alternatives for the Nation (WEAN) Off of Oil Act
"Record gas prices are increasing the challenges working families face as they try to heat their homes, fuel their cars and make ends meet. All the while oil companies are earning record profits. This legislation would put these unprecedented profits towards weaning ourselves from our dependence on foreign oil. By investing in alternative and renewable sources of energy we will help consumers cope with rising energy prices," said DeLauro.
In New Haven , the average price of regular gasoline is $3.17 gallon - almost a nickel away from the record high of $3.23 from July 29, 2006 - and that amount is only expected to rise with the approaching summer months. At the same time, major oil companies continue to rake-in record-setting profits. Just last month, Exxon Mobil earned their highest profits in history$9.3 billion in one quarterand Valero Energy Corporation's profits totaled $1.1 billion, a stunning 30 percent increase from last year.
The WEAN Off of Oil Act calls for a 50‑percent tax on crude oil profits over $50 a barrel when those profits are earned by major oil companies. The proceeds from the windfall profits tax (WPT) would fund a Strategic Energy Efficiency and Renewable Reserve - a reserve fund included in the CLEAN Energy Act (H.R. 6), which passed during the first 100 Hours. More specifically, the DeLauro legislation would use funds to:
* Accelerate the use of clean domestic renewable energy resources and alternative fuels.
* Promote the utilization of energy-efficient products and practices and conservation.
* Increase research, development, and deployment of clean renewable energy and efficiency technologies.
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