Economy Oil and gas firms must pay more to drill on public lands under new Biden rule

[billiam]

Well at least its just the oil companies and the cost won't be passed on to the consumer.

 

[HockeyBjj]

Well at least its just the oil companies and the cost won't be passed on to the consumer.

You say that like they don't pass on whatever costs they can by holding more revenue as profits anyways

 

[Seano]

You say that like they don't pass on whatever costs they can by holding more revenue as profits anyways

I say that because of what you said, not in spite of it. Any cost the government levies to the oil companies will just be passed on to the consumer. This is how the left always fucks over the middle class, crap like this.

 

[HockeyBjj]

I say that because of what you said, not in spite of it. Any cost the government levies to the oil companies will just be passed on to the consumer. This is how the left always fucks over the middle class, crap like this.

So you want to tax the oil companies less, so that they have to directly raise the taxes on income more?

There's still supply and demand that *should* be setting prices, companies using public land leases are still beholden to the market oil rate where private land wells and international oil companies are a factor of it.

24% of oil comes from public land lease, and 11% of natural gas is public land. 4.2% increase cost on public results in 1% increase in oil and .5% increase in natural gas costs.

It's not a one for one of "any extra costs just go to the consumer" because public land oil/gas prices are in the same market as private and international. If it was 50+% of oil/gas came from public land and the price increased then I'd agree with you. But that's not the case.

 

[jx820]

the proposal would lead to a more responsible leasing process that provides a better return to US taxpayers.

I don't think it's exactly a roman triumph, but this is a good policy and a practical goal. More importantly it's done at a time when we're at record oil production and we have cheap gas so there's less burden on both the producers and the consumers.

Biden's administration has racked up a lot of these base hit policies that collectively have made an enormous difference, but they are SO bad at communicating the big picture of it all.

 

[Seano]

So you want to tax the oil companies less, so that they have to directly raise the taxes on income more?

There's still supply and demand that *should* be setting prices, companies using public land leases are still beholden to the market oil rate where private land wells and international oil companies are a factor of it.

24% of oil comes from public land lease, and 11% of natural gas is public land. 4.2% increase cost on public results in 1% increase in oil and .5% increase in natural gas costs.

It's not a one for one of "any extra costs just go to the consumer" because public land oil/gas prices are in the same market as private and international. If it was 50+% of oil/gas came from public land and the price increased then I'd agree with you. But that's not the case.

All I'm saying is this government sanctioned price increase on drilling is just going to cost the taxpayer. Nothing more or less.

 

[Sinister]

So you want to tax the oil companies less, so that they have to directly raise the taxes on income more?

There's still supply and demand that *should* be setting prices, companies using public land leases are still beholden to the market oil rate where private land wells and international oil companies are a factor of it.

24% of oil comes from public land lease, and 11% of natural gas is public land. 4.2% increase cost on public results in 1% increase in oil and .5% increase in natural gas costs.

It's not a one for one of "any extra costs just go to the consumer" because public land oil/gas prices are in the same market as private and international. If it was 50+% of oil/gas came from public land and the price increased then I'd agree with you. But that's not the case.

IMO any use of public land should come with a price cap. Otherwise we end up with the same bullsh*t as pharmaceutical companies who have public resources for research and development, then price gouge the f*ck out of the customer base. Also with the bullsh*t of giant corporations just sitting on unused permits.