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Boehner Pays Lip Service to Cutting Government Oil Subsidies

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Posted on Apr 26, 2011
Flickr / JoelK75

With gas prices still rising, House Speaker John Boehner has broken from traditional GOP rhetoric to voice his support for ending tax breaks to the oil industry.

President Obama has championed the same cause since taking office, asking Congress to eliminate $3.6 billion in annual subsidies to the oil, coal and natural gas industries while energy titans such as BP and Shell enjoy record profits. Leaders from both parties are concerned about the impact that long-term gasoline price hikes will have on voters’ minds.—KDG

Reuters:

A New York Times-CBS News poll found that 70 percent of Americans believe the country is on the wrong track and analysts believe gas prices are a main reason for this.

The Obama administration tried unsuccessfully during the last Congress to cut tax breaks and subsidies for fossil fuels.

The attempt to end the subsidies has been strongly condemned by oil and gas companies, which argue that abolishing the tax breaks would reduce domestic drilling, cost jobs and increase U.S. reliance on foreign energy suppliers.

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Leefeller's avatar

By Leefeller, April 27, 2011 at 7:42 am Link to this comment

According to one of the MSNBC folks last eve, Boner did the very same thing for the Tobacco industry, supposedly he even passed out checks for votes? You know these ass holes do not care about you or me, just their benefactors the highest bidders and again not us.

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By purplewolf, April 27, 2011 at 7:31 am Link to this comment

So what if it reduces domestic drilling. The people never see the royalties they are supposed to, it doesn’t mean that we in America will get the oil, even though we help they drill it-more profits for big oil, it goes to the highest bidder and it would lower gas prices maybe by 2012 so what the hell are we paying them for, we do not get the end product-the oil for free. No subsides are needed, they will drill anyway.

As for the poor, they always get picked on and thanks to the jobs leaving the country, the working poor and middle class will have less money to buy this over priced for profit item and the people in the countries who are making less money that we are per day can’t afford it either.

So eventually it will all come to a halt when there are trillions of barrels of over stocked oil, as we have billions of excessive oil just sitting now, with people who have no money for food, think big oil will be selling as much then?

Our gas prices jumped from $3.89.9 a gal.-$4.17.9 a gal., to days ago and yesterday it was said to have gone up another 20 cents per gallon. I shall be canceling my car insurance-less money for big insurance- and lining up the medical van at the cancer center, less than a mile away for my medical trips. It will be a lot cheaper to go that way than to try to keep by car on the road. I will not and cannot afford to pay over $4 a gallon on my fixed and stagnant income.

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By John Poole, April 26, 2011 at 2:05 pm Link to this comment
(Unregistered commenter)

I think we need to drop the term “predatory capitalism”.  The callous decisions
made by those who rule corporations or work in the higher levels are the result of
character weakness. We need to work on raising the young to not need exorbitant
material possessions to define their worthiness. Parenting is the secret although
that concept is just too whimpy and squishy. Betters humans would automatically
result in a better social contract.

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Leefeller's avatar

By Leefeller, April 26, 2011 at 1:08 pm Link to this comment

TDoff, ....Good one!

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By TDoff, April 26, 2011 at 12:50 pm Link to this comment

Yeah, sure, and The Boner also promised his wife Debbie that he would quit masturbating, and look how that turned out!
What this article omits is the quid-pro-quo the speaker has in mind. I mean, if he’s gonna ask his buddies in the oil and gas bidness to give up the $4B federal tax giveaway they’ve been shoving in their pockets since day one, he’s gotta get something in return, right?
Rumors are rife that The Boner’s gonna propose that a ‘deficit reduction plan’ of $8B be achieved by reducing food stamps, school lunches, use of public water fountains by the homeless, instituting a ‘Bring Your Own Toilet Paper’ policy for unemployed people forced to live in National Parks, and ‘bums’ who visit the nation’s capitol’s toilets, and closing hospital emergency rooms on weekends, and from 5PM to 8AM each night during the week.
Asked why he always seems to pick on poor people, and those down-on-their-luck, The Boner replied, ‘Are you nuts? Poor people have no money to pay my fees for voting their way, who do you expect me to pick on, corporations!!??’

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Blackspeare's avatar

By Blackspeare, April 26, 2011 at 12:08 pm Link to this comment

What is even more interesting is that the oil companies are currently making record profits. You would expect that if the raw material (crude oil) prices increase then companies raise their prices according to maintain their existing profit margin.  But if their profits increase during times of high raw material costs then they are taking advantage of the situation and raising their costs above and beyond the existing profit margin and performing what is conventionally called price gouging.  This is also called predatory capitalism at it’s very finest!

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