UNITED STATES: As he battles high pump prices with elections in a week, President Joe Biden called on oil and gas firms on Monday to use their record profits to decrease costs for Americans and increase production or face a higher tax rate.
In remarks delivered at the White House, Biden criticized significant oil companies for making large profits. Meanwhile Americans have to pay a hefty price to fill up their cars.
To cut costs for Americans and boost production, oil and gas corporations should invest their earnings, according to Biden, who also threatened to lobby Congress to consider imposing tax fines and other limitations on them if they don’t.
Biden held the gathering week before Americans determined whether his Democrats would continue to rule the U.S. Congress.
Republicans are expected to take control of the House of Representatives, but it’s unclear who will win the Senate.
Exxon Mobil Corp. and Chevron Corp., two of the largest energy companies in the world, reported yet another round of enormous quarterly profits thanks to rising natural gas and fuel costs that have pushed up inflation globally and renewed calls for more taxes on the industry.
Energy experts predict it would be challenging to pass a law punishing energy companies for excess profits, regardless of whether Democrats or Republicans control Congress.
While customers struggle with higher energy prices, the White House has been studying legislative legislation that might tax the profits of oil and gas corporations for months.
In order to aid those dealing with skyrocketing energy costs, British MPs in July passed a 25% windfall tax on oil and gas companies in the British North Sea. This tax was projected to earn 5 billion pounds ($5.95 billion) in a single year.