US Royalties to Big Oil Give a New ($100 Billion) Meaning to "Black Gold"

authordefault
on

Incentives for oil and gas companies that drill in the Gulf of Mexico will cost the federal government at least $20 billion over the next 25 years, according to the draft of a Congressional report obtained onย Tuesday.

The new estimates, prepared by the Government Accountability Office, also warn that $80 billion in revenue could be lost over the same period if oil and gas companies win a new lawsuit that seeks a further reduction in their royaltyย payments.

The report, delivered in a private briefing late Monday to House and Senate staff members, startled some of the program’s longtime supporters and infuriated someย critics.

The report is the first attempt by a government agency to calculate the soaring costs of a 10-year-old program that was created to encourage deepwater drilling when energy prices wereย low.

ย 

Related Posts

on

Dan McTeague cultivates a media image as a consumer advocate while running a group urging people to fight against climate policies.

Dan McTeague cultivates a media image as a consumer advocate while running a group urging people to fight against climate policies.
on

Industry groups warn of โ€œsupply shocksโ€ as energy shortages grow, but critics say targeting the EUโ€™s methane rule would lock in polluting U.S. fossil-fuel infrastructure at a dire cost to local and global communities.

Industry groups warn of โ€œsupply shocksโ€ as energy shortages grow, but critics say targeting the EUโ€™s methane rule would lock in polluting U.S. fossil-fuel infrastructure at a dire cost to local and global communities.
on

The Tory leader spent a week at the home of a major party donor.

The Tory leader spent a week at the home of a major party donor.
on

After surviving a California wildfire, one family saw premiums quadruple โ€” as states consider laws to force fossil fuel companies to pay for the soaring costs of climate catastrophes they helped create.

After surviving a California wildfire, one family saw premiums quadruple โ€” as states consider laws to force fossil fuel companies to pay for the soaring costs of climate catastrophes they helped create.