November 29, 2021

Biden Admin Wants to Raise Fees for Oil and Gas Drilling

Timothy Birdnow

Shows he has no interest at all in actually lowering prices, but rather is simply doing theater to make it appear he's taking action.

Biden Interior Department calls to raise prices for oil and gas companies to drill on public lands

The Department of the Interior released areport Friday that proposed "modernizing" the federal oil and gas program, in part by charging fossil fuel companies more money to drill on public lands and waters.

The department’s reviewfound that the fiscal components of the current onshore federal oil and gas program are "particularly outdated, withroyalty rates that have not been raised for 100 years," referring to the12.5% rate the federal government charges fossil fuel companies for oil and gas extracted from public lands and public offshore waters.

 

"States with leading oil and gas productionapply royalty rates on state lands that are significantly higher than those assessed on Federallands," the report states. "The Texas royalty rate, for example, can be double the federal rate.

"Likewise, bondinglevels have not been raised for 50 years," it continued. "Federal minimum bids and rents have been the same forover 30 years. These antiquated approaches hurt not only the federal taxpayer but also state budgets because states receive a significant share of Federal oil and gas revenues."

The department said that in addition to raising royalty and bonding rates, the federal government should prioritize leasing in areas with known resource potential and avoid leasing that "conflicts with recreation, wildlife habitat, conservation, and historical and cultural resources."

Which pretty much means all Federal land; they will find a way to interpret any property the oil companies want to explore as fitting into one of those categories. It's a sneaky way to backdoor Mr. Biden's policy of banning drilling, which he implemented when he first took office but had to rescind because of a court order.

These people are relentless.

Posted by: Timothy Birdnow at 10:13 AM | Comments (81) | Add Comment
Post contains 323 words, total size 3 kb.

1 And terribly destructive, as well.

Posted by: Dana Mathewson at November 29, 2021 10:59 PM (Idemf)

2 I'm looking forward to the day -- in the not-too-distant future, I hope -- when Biden will be a private citizen again and have to pay for his own gasoline. THEN let's see what he thinks of high gas prices.

Posted by: Dana Mathewson at November 30, 2021 11:56 AM (Idemf)

3 I doubt he'll ever pay for his own gas. He'll probably bill it to the government as part of the cost of the secret service.

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