Joe Biden wants to investigate “flaws” in oil

U.S. President Joe Biden has called on the Federal Trade Commission to urgently investigate whether the country’s largest oil companies are engaging in “illegal activities” that are causing Americans to rise in oil prices.

In a letter to FTC chairwoman Lina Khan, Biden said there was “more evidence against consumers” in the market, noting that “big oil and gas companies… As measured by market capitalization” were preparing “billions of dollars. buy dollars and goods “even as prices at the pump continue to rise.

The two top US oil and gas companies based on the market are ExxonMobil and Chevron. Biden said the companies were “making huge profits”, adding: “The bottom line is: oil prices at the pump remain high, even though oil and gas prices are falling.”

The president’s intervention comes as he faces increasing political pressures over rising petrol prices and rising commodity prices. His popularity has plummeted in recent weeks, as more and more Americans are seeing how they operate economically.

Biden’s intervention was similar to the way Donald Trump used the insulting pulpit to persuade companies to change their practices, although the former President prefers to use his Twitter account instead of writing letters to the FTC.

The Obama administration has also registered with the FTC to investigate rising oil prices as part of the “Oil and Gas Fraudulent Working Group” announced in 2011. sure that the main driver of fuel prices was the price of crude oil. And in 2006, President George W Bush called to find out if oil companies are improving prices.

The Biden government is considering removing oil from a federal group that seeks to lower oil prices and has repeatedly asked Saudi Arabia, Russia and other oil companies Opec + to increase oil prices.

“The FTC is concerned about this issue, and we are looking into it,” the official said. Exxon and Chevron did not immediately respond to a request for comment.

Prices for crude oil prices plummeted last year as the epidemic closed, but has risen sharply since the vaccine was announced last November and the closure has dropped.

Rising oil prices have also boosted U.S. oil prices, with a gallon of oil now selling at around $ 3.41 – up 60 percent in the last 12 months – according to the AAA car group.

Biden’s letter to Khan highlights the rise of White House voices in competition at the oil and gas industry. Brian Deese, director of the National Economic Council, sent another letter to Khan August call on the FTC to address any concerns in the US oil market.

Critics at Biden oil companies are criticizing climate change and limitations for new drills to raise oil prices, but experts say Wall Street pressure on creditors to repay loans has failed to repay loans after last year’s fall in prices.

Oil production in the US is about 11.5m barrels per day, according to the Energy Information Administration, about 12 percent below its pre-epidemic rise. Petroleum consumption in the US dropped to about 5m barrels per day during the closure last year but has doubled since then.

Investigators say Biden’s letter to the FTC followed a well-known political document of presidents who are to blame for rising oil prices and will not affect prices.

“How many times has the FTC surveyed oil prices without finding anything? It’s a political crisis,” said Robert Campbell, chief of oil sales at consultant Energy Aspects.

“The biggest impact on oil prices is oil prices. The global market is tight. There is not much the US can do right now,” Campbell said.

Additional reports of Kiran Stacey in Washington and Myles McCormick in New York

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