Category Archives: Energy

Update on Washington Attorney General Rob McKenna Asleep at the Wheel

Posted on May 3rd, 2006 | 1 comment

On Tuesday I speculated aloud about why Washington State was not a party to the Lawsuit filed by California and 9 others states plus the city of New York and the District of Columbia challenging the weak Federal Fuel Efficiency Standards issued in March.. I wondered if it could have been because McKenna received some 28 contributions over $1000 each (over $36,000) from automobile interests when he ran for Washington State Attorney General.

To be fair I have a call into the Attorney General’s Office asking why Washington State is not a party to this lawsuit. When the Bush Administration issued the fuel efficiency standards in March it also included a 52 page statement saying that only the Federal Government could regulate CO2 emissions from cars and trucks.

Such an action would override the Clean Car legislation the Washington State Legislature passed last year. It seems that from consumer protection, health protection and environmental protection Attorney General Rob McKenna is not protecting Washington State’s interests.

In addition to trying to get their response verbally I have just sent them the following e-mail entitled “Why is Washington State not a party to the Lawsuit filed by the California AG to increase fuel efficiency standards for SUV’s and light trucks?


Dear Attorney General Rob McKenna,

Yesterday the California Attorney General and nine other state Attorney Generals and the District of Columbia and New City filed a lawsuit in Federal Court challenging the Federal fuel efficiency standards set in March for light trucks and SUV’s. See press release http://ag.ca.gov/news alerts/release.php?id=1299#attachments

Almost all of the states in the lawsuit have passed Clean Car Legislation patterned after California’s. Washington State passed such legislation last year.And Oregon is in the process of enacting similar rules.

As part of the final standards issued by the National Highway Traffic Safety Administration, a 52 page memorandum was added by the current administration stating that the Federal Government, not the states , have the authority to regulate CO2 emissions.

It would seem to me that the state of Washington needs to respond to this issue, not just because it challenges legislation passed by the Washington State Legislature, but also because of the need for Washington State to do all it can increase fuel efficiency and cut gases that contribute to global emissions.

Thank you for your response.

Sincerely,
Steve Zemke
In addition I have contacted the California Attorney General’s Office on this matter.I asked them if they had asked McKenna about being on the suit. A person in their press office responded that “the protocol is to reach out to a wide variety of states.” They do this through their national organization – the National Association of Attorney Generals.

She said they communicated regularly with other states to make it possible to join the lawsuit. “Lots of communication goes on”. She said I should check with the Washington AG’s office and said” it was a fair question to ask” when I wondered if his decision was affected by our Attorney General getting donations from automotive interests.

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Missing in Action – Washington State Attorney General Rob McKenna

Posted on May 2nd, 2006 | Comments Off on Missing in Action – Washington State Attorney General Rob McKenna

Where is Washington State Attorney General Rob McKenna? Is he asleep at the wheel? It certainly seems that is the case. In the story reported today in the Washington Post Washington state is conspicuously absent from the list of states today filing a suit to enforce and protect Washington citizens from rising gas prices and global warming.

Today California Attorney General Bill Lockyer and nine other states filed suit against the Bush Administration. Joining the California Attorney General in the lawsuit were Attorney Generals from Connecticut, Maine, Massachusetts, New York, New Jersey, New Mexico, Oregon, Rhode Island and Vermont.

They are challenging the Bush Administration’s recently issued weak fuel economy standards for SUV’s and light trucks. Weak standards contribute to wasting gasoline, rising gas prices and global warming.
Lockyer states that:

“With gas prices skyrocketing, we must substantially increase fuel efficiency in new vehicles, not only to protect the pocketbooks of working families, but also to reduce vehicle emissions that contribute to global warming,” said Lockyer. “These rules fail that test by not requiring enough from the auto industry. The Bush Administration once again has missed an opportunity to promote new technology, fuel economy and conservation by issuing fuel economy goals that are status quo.”

In addition Lockyer noted that when Bush issued the fuel efficiency rules, Bush attached a 52 page discussion that asserted only the Federal Government, not individual states, could regulate carbon dioxide emissions. Reducing carbon dioxide is crucial to reducing global warming.

President Bush and his Administration have spent most of their time in office representing corporate America and the oil and gas industry and car manufacturers while arguing that global warming is only a theory. He refused to sign the international Kyoto Protocol to help reduce worldwide global warming.

Washington State last year passed HB 1937 – changing vehicle emission standards. The vote in the House was 55 to 42 and in the Senate 29 to 19. The preamble to HB 1937 noted that

“motor vehicles are the largest source of air pollution in the state of Washington, and motor vehicles contribute approximately fifty-seven percent of criteria air pollutant emissions, eighty percent of toxics emissions and fifty-four percent of greenhouse gases”

Washington State is one of 10 states that have adopted Clean Car Legislation. The other states are California, Connecticut, Maine, Massachusetts, New Jersey, New York, Rhode Island, Vermont and Washington.

The state of Oregon is currently adopting California style clear air standards by administrative rule. The Dept of Environmental Quality just won a lawsuit opposing their action in March and will present the recommendationsions to the Oregon Environmental Quality Commission in June for adoption.

In a previous letter to the National Highway Safety Administration, the states suing asserted that the NHTSA,

“failed to consider alternative approaches that would have promoted energy conservation, made meaningful contributions to increased fuel economy and encouraged technological innovation. In addition, the letter said, NHTSA failed to consider the environmental consequences of its proposed overhaul of light truck standards, failed to consider the changes in the environment since the 1980s, when NHTSA last assessed the environmental effects of the standards, and failed to evaluate the impact of carbon dioxide emissions despite identifying the threat of CO2 and global climate change as new information concerning the environment.”

Now here’s a question for you. In looking at Rob McKenna’s 2004 Attorney General campaign contributors, it turns out that a number are employed by auto industry firms. Maybe a third of his contributors appear not to have an employer listed as required by law so I’m sure the number is higher. But of those that do, here is a list of employers, who were easily identified, of the contributors, who gave McKenna $1000 or more. You can see yourself by going to www.pdc.wa.gov.

Titus Will $2700
Honda Auto Center $2500
Toyota of Puyallup $1350
Bob Bridge Auto Center $1350
Enterprise Rent a Car $1350
Lexus of Bellevue $2700
Pignataro Volkswagen $1350
Sound Ford $1350
United Services Automobile Assoc $1350
Washington Oil Marketers Assoc PAC $1250
Sound Ford $1150
Brotherton Cadillac $2000
Downtown Toyota $1000
Honda Auto Center $1000
Volvo of Tacoma $1000
Lexus of Tacoma $1000
Lexus of Bellevue $1000
Jaguar of Tacoma $1000
Dick Hamak Dealership $1000
Chevron Texaco $1000
Acura of Seattle $1000
Volkswagen Hyundai $1250
Richland RV Park $1350

So while almost all of the other states which have passed Clean Car Legislation, joined the suit to try to force the Bush Administration to come up with standards to increase fuel efficiency and reduce global warming, Washington State’s Attorney General has not done so. Can it be because of his automobile industry friends and contributors?

McKenna also did not represent Washington citizens last year in a similar case. Washington state was not among 10 states suing the EPA over greenhouse gases. Is Rob McKenna representing our interests or the interests of corporate America? Maybe he doesn’t believe in global warming? Or maybe he can still afford to fill up his car?

If you would like to ask Rob McKenna why he hasn’t filed on this lawsuit you can contact him at:

Attorney General Rob McKenna
1125 Washington St. SE
PO Box 40100
Olympia, WA. 98504-0100
Telephone: 360-753-6200

Fax: 360-586-7671

E-Mail: Contact the Attorney General Online.
http://www.atg.wa.gov/ago_contact.shtml#38 click not listed for a response form

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Bush and Republicans Panic, Ask if They Can Buy Your Love (Vote) for $100

Posted on April 28th, 2006 | Comments Off on Bush and Republicans Panic, Ask if They Can Buy Your Love (Vote) for $100

The lowest grade of gas in Seattle has now moved above $3.00 a gallon. Meanwhile oil companies profits move into the stratosphere. And the Republicans propose the answer is to further cut funding from already depleted government programs by giving you a $100 so you can buy more gas.

A Seattle PI editorial today calls it “Buying Votes“. Their weblink calls it “gasgimmicked”. And here I thought I was going to be the first to claim on my blog that it was a pretty blatant attempt by the Republicans to buy some love for themselves, at least until the November election is over. Well you know brilliant minds sometimes do think alike.

Anyway, just a couple of days ago Bush was not so subtly trying to blame rising gas prices on the environmentalists by saying it was those damn clean air laws doing it and maybe we should suspend them. After all, Bush is thinking to himself, all we need to do is call our effort something like the “new and revised healthy air initiative” and people would surely just take our word for it. You know, like a healthy forest is one where we cut trees down. They believed that.

Bush also tried to blame it on environmentalists by shedding tears that he couldn’t play oil magnate and drill for more oil in the Arctic National Wildlife Refuge in Alaska. But think about it, where would the $100 come from?

One proposal circulating is to give you back some of your Federal gas taxes, for several months.
As the PI editorial notes, that does nothing to reduce demand for oil.It will merely cut money for other things our Federal Government does, like pay for education and health care. So in essence this proposal is true Republicanthink. Cut taxes and cut government. It does nothing to solve America’s addiction to oil.

Bush and his Republican cronies represent Corporate America and Corporate America is all about profits. And the oil industry is doing gangbusters there.

A Seattle PI business headline today says “Chevron earnings soar 49 percent to $4 Billion”

“…the performance marked the fourth consecutive quarter that Chevron has earned at least $3.6 billion as the company continued to capitalize on oil prices that have climbed above $70 per barrel since the first quarter ended.”

So do you think Bush will go after Chevron profits. Bob Herbert in another article in todays PI entitled “Bush drives nation even closer to cliff” notes that Condoleezza Rice was “a former Chevron director, even had an oil tanker named after her.”
Meanwhile as posted in the Washington Post yesterday,

 “Exxon Mobil Corp.reported $8.4 billion in first-quarter profit.”

The earnings outstripped the oil giant’s profit in the first quarter of last year. Given current oil market conditions, analysts said, that puts Exxon Mobil on track to break the $36 billion record profit it made last year.

The Washington Post on Wed. noted that for ConocoPhillips, the U.S.’s third largest oil company, that:

 

“The Houston-based oil and gas giant said first-quarter net income rose 13% to $3.29 billion, or $2.34 a share, up from a year-ago profit of $2.91 billion, or $2.05 a share. Total revenue grew 23% in the latest three months to $47.9 billion from $38.9 billion in the same period a year earlier. ”

Altogether, Exxon Mobil, Chevron and Conoco Philips 1st quarter 2006 profits topped $15 billion. O.K. One guess. Whose pockets do you think that $15 billion dollars came from.

So in this land of Republican free enterprise isn’t this what you would expect You are allowed to take as much as you want, charge as much as you want and do as you want with what you get. It’s part of the Corporate Republican agenda.

You are allowed to soak the public for as much as you can because we don’t need regulation of any sort. Did you ever hear Bush speak out against his buddies at Enron as they soaked the public, you and me, with preposterous electricity bills.

Why would you expect Bush and the Republicans to go against their own businesses, that helped put them into office? Don’t complain about high gas prices, those of you that voted for Bush.

Did you really think he had compassion? What he has is passion for corporations making money. Don’t you remember after 9/11. His speeches to the American public weren’t about energy independence, no they were about urging you to continue to buy and consume, to keep the corporations in business. Think about it.

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Senator Cantwell Press Conference a Shocker in More Ways than One!

Posted on April 10th, 2006 | Comments Off on Senator Cantwell Press Conference a Shocker in More Ways than One!

At a press conference in Seattle today Senator Cantwell called the latest proposal to settle Enron bankruptcy claims with Northwest ratepayers an “insult“. She berated the blatant attempt to suppress Enron evidence and the attempt to make the NW ratepayers the deep pockets for settling Enron’s bankruptcy.

The proposal drafted by Enron and FERC (Federal Energy Regulatory Commission) proposes settling for pennies on the dollar for Enron overcharges. The proposal now goes to the three FERC commissioners for approval.

The current proposal started with some $20 million in disputed overcharges to the Snohomish PUD but has been expanded to cover much more. It includes a blatant and outrageous attempt to suppress the public seeing any new Enron information and proposes suppressing current information from being used for other cases.

Enron is also trying to collect some $120 million from the Snohomish PUD for contracts that were terminated. The Enron-FERC proposal would keep sealed the documents from the current case. This would severely hinder the Snohomish PUD in presenting its case on the $120 million contract termination dispute.

FERC is supposed to regulate energy wholesale prices and by law is supposed to protect ratepayers by assuring that rates are “just and reasonable”. FERC ignored repeated requests from Western states to intervene in controlling the price spikes in 2000 and 2001 that drove electric rates as much as 100 times current prices. They made some references to a free market as their rationale. The problem was that Enron was manipulating the market. See more on FERC at Frontline’s What is FERC?

FERC’s initial look at Enron’s practices was lukewarm and failed to uncover audiotapes and other documents that now have emerged. As Senator Cantwell notes, “ The failure to uncover those audiotapes and other data raised serious questions in my mind … about the thoroughness of FERC’s investigation. Still more flags were raised when we learned that FERC staff had previously attempted to quash or exclude portions of this evidence from the record.”

Senator Cantwell continued to pursue the issue.

Finally in June 2004 former FERC Chairman Wood told Senator Cantwell and Senator Lieberman of Connecticut that some $800,000 0f taxpayer money would be committed for further investigation. Out of this additional investigation , some $1.8 billion was determined by FERC staff to be “illegal profit” As such it was supposed to be returned to ratepayers.

The current Enron-FERC proposal, if approved, would void any further action by FERC to return funds to NW ratepayers. It would also seal from public view critical evidence of Enron’s misdeeds.

Cantwell responded, “We’ve been fighting for years to get justice for Northwest ratepayers, and now the same Federal regulators who just hired an ex-Enron attorney are proposing a settlement that will give families and businesses less than one percent of what these corporate criminals took. This is an insult to hard-working families overwhelmed by years of record-high energy costs. We need honesty and fairness from energy regulators. Northwest families deserve better than a settlement that pays pennies to the dollar.”

Senator Cantwell was joined in condemning the proposal before FERC by representatives of the Snohomish and Grays Harbor PUD’s, the Port of Seattle and Ash Grove Cement.

Enron, through market manipulation, price gouging and other methods, helped to create the Western Power Crisis in 2000 and 2001 by manipulating energy markets and artificially driving up prices to exorbitant levels. Enron declared bankruptcy in Dec 2001.

Everyone thinks that California ratepayers suffered the most as a result of Enron’s manipulating the energy markets. Enron’s profit and loss statements for 2000 and 2001 actually show the opposite. Enron showed a profit of $694,580,802 for that time from the Pacific Northwest compared to $347,238,448 profit from California, a 2:1 ratio.

Northwest ratepayers took the biggest hit from Enron’s manipulation of the markets.

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Why are Republicans Still Ignoring U.S.Senator Cantwell’s ENRON Reforms?

Posted on March 31st, 2006 | Comments Off on Why are Republicans Still Ignoring U.S.Senator Cantwell’s ENRON Reforms?

ENRON is again front and center in the news. But where are the Republicans, who control Congress, in efforts to prevent another ENRON from severely impacting ratepayers? Where are Republicans like Mike McGavick in urging action to protect Northwest ratepayers? Missing in action!

Meanwhile U.S. Senator Maria Cantwell from Washington State has made very clear her position of the need to protect Washington State ratepayers from another ENRON. Last year she introduced S. 33 in the U.S. Senate. The bill is straightforward, easy to understand, and short:

“S. 33 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the “Electricity Needs Rules and Oversight Now (ENRON) Act”.
SEC. 2. PROHIBITION OF ENERGY MARKET MANIPULATION.
(a) PROHIBITION.–Part II of the Federal Power Act (16 U.S.C. 824 et seq.) is amended by adding at the end the following:
“SEC. 215. PROHIBITION OF MARKET MANIPULATION.
“It shall be unlawful for any person, directly or indirectly, to use or employ, in connection with the purchase or sale of electric energy or the purchase or sale of transmission services subject to the jurisdiction of the Commission, any manipulative or deceptive device or contrivance in contravention of such regulations as the Commission may promulgate as appropriate in the public interest or for the protection of electric ratepayers.”.
(b) RATES RESULTING FROM MARKET MANIPULATION.–Section 205(a) of the Federal Power Act (16 U.S.C. 824d(a)) is amended by inserting after “not just and reasonable” the following: “or that result from a manipulative or deceptive device or contrivance”.

Did the Republicans who run Congress or President Bush ever act on this legislation? No! Are they doing anything now? No!

So its obvious – the current Republican Congress and President Bush agree that it is all right to charge ratepayers for increased electrical rates that occur as a result of “a manipulative or deceptive device or contrivance” done by unscrupulous energy traders and brokers.

To refresh our memories on this issue let me quote from Senator Cantwell’s statement in the Congressional Record

“…the release of audiotapes of Enron traders gloating about their ability to manipulate energy markets shocked the Nation. As more tapes surface and energy prices continue to rise, the need for the Senate to pass the ENRON Act has never been more clear.

A public utility near Seattle, which is trying to get back the money it lost to Enron’s unscrupulous energy trading practices, received the tapes from the Justice Department. These tapes confirm what we all suspected: Enron manipulated energy markets and gouged consumers.

According to these tapes, Enron traders celebrated when a forest fire shut down a major transmission line into California in 2000. This shutdown cut power supplies and raised energy prices. An energy trader sang: “Burn, baby, burn. That’s a beautiful thing.”

These taped conversations also provide evidence that Enron made secret pacts with power producers, and Enron traders deliberately drove up prices by ordering power plants to shut down. The traders also brag about their ability to manipulate markets and steal money from the “grandmothers of California,” who one trader called “Grandma Millie.”

The arrogance of these traders shocks the conscience. It also demonstrates the need for Congress to protect consumers from energy market manipulation. We cannot let the market abuses that took place during the Western energy crisis of 2000 happen again.

What was the Republican Senate response. Well as Senator Cantwell noted:

“…this language was stripped from the omnibus spending bill. These necessary protections were also omitted from the final energy conference report and the revised energy bill we voted on in April 2004. ”

If you think it doesn’t make a difference whether Republicans or Democrats control the US Congress think again. This is just one example among many that point the differences. The US Senate does not need any more Republicans and certainly not from Washington state.

Next time you see Republican Insurance Salesman Mike McGavick, who is running against Senator Cantwell, ask him where he was while ENRON was ripping off Washington state ratepayers. We know where Senator Cantwell was.

Senator Maria Cantwell’s campaign can be reached at Maria Cantwell for U.S. Senate

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Update Initiative 917 Snafu by Eyman

Posted on March 20th, 2006 | 1 comment

Its obvious that any petitions Tim Eyman turns in to the Washington Secretary of State on Initiative 917 will be closely scrutinized as to complying with Washington State law. In tiny print on the bottom right corner of Eyman’s first initiative printing of I-917 there is a small declaration area as required by law but it does not provide a space for a signature.

The problem is that there is no indication that one has to both print and sign it for the petition to be accepted by the Secretary of State as there is only one line to write a name on. The declaration is hard to see and blends in with the initiative text. The Secretary of State’s official letter of Feb. 9, 2006 said the declaration had to be both printed and signed.

There is no notation on the front of the petition that the signature gatherer has to print and sign their names on the back. Eyman, in sending out his new “revised’ petition, does not tell his supporters that the old petition clearly has to be both printed and signed even though there is no space to do both.. All in all it makes things very confusing, hardly what one would expect from a so called professional initiative monger.

What I guess what it all means is that each petition is going to be closely scrutinized if he turns them in.

Is this petty or is it worth it? Well we are talking about proposed Washington State legislation that repeals the other half of last year’s legislative transportation package. Even though it wasn’t Eyman’s initiative, he championed Initiative 912 to repeal the gas tax, which the voters soundly defeated in November. This is the other half of the legislature’s transportation package.

So one can expect because of the proposed loss of millions and millions of transportation dollars for state, county and city transportation projects and that impact on businesses in Washington State that there will be a vigorous campaign to defeat I-917 if it were to be on the ballot.

It now appears that one part of that campaign may be to vigorously scrutinize and challenge any petitions Eyman turns in because of the confusion and uncertainty he has created with his poorly designed petition. Because of the controvery, it is hoped Washington’s Secretary of State will be on top of this.

Eyman of course claims there is no problem, that his petitions are legal and that everyone is printing and signing their name. What would you expect him to say?

Some will question raising this issue now rather than waiting but there is not much reason to second guess. The fact is Eyman knows he has a problem or he would not have gone to all the effort and expense of redesigning and re-mailing his petitions. We are not bringing anything new to his attention. It is better to be aggressive and challenge Eyman and challenge the media to acknowledge that Eyman is not some professional initiative wizard. If Eyman was employed by someone else to run an initiative campaign he would have been fired by now. That’s why he goes to such great lengths to hide his mistakes.

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Posted in Elections, Energy, Initiatives, Right Wing

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Energy Security Initiative Kickoff!

Posted on February 16th, 2006 | Comments Off on Energy Security Initiative Kickoff!

The following is taken from an e-mail from the Energy Security Initiative Campaign. Attend a kickoff or contact them at www.energysecuritynow.org. to get petitions and volunteer. Please help put a progressive initiative on the fall ballot. Join their e-mail list and keep informed of their progress.

“Clean Energy Initiative Officially Filed in Olympia!
On January 25th, Washingtonians for Energy Security officially submitted initiative wording to the Secretary of State’s office. For anyone who missed the media coverage, the filing of the initiative was combined with a press conference that was covered by press outlets across the state. Speakers at the event included U.S. Congressman Jay Inslee, Sara Patton of the Northwest Energy Coalition, and Randy Hardy, a former Bonneville Power Administrator. Afterward, both KIRO and KOMO radio conducted radio interviews with members of the campaign committee, and newspapers around the state ran stories on the official launch of the initiative. By all accounts, the press launch was a huge success!! Click on the following links to read articles that were published following the press conference:

· The Seattle Times – Read article here! (Requires free registration to read.)
· The Columbian – Read article here!
· The Longview Daily News – Read article here!
· The Olympian – Read article here!

Please join us at a Campaign Kick-Off Meeting near you!
We are very excited to announce the dates for our campaign kick-off events – taking place all across the state! These meetings will be a fantastic opportunity to learn more about the initiative, meet campaign staff and other volunteers in your area, and discuss what we need to do to attain our goal of 160,000 signatures. Only with your help will we qualify for the November ballot, and we hope to see you and all your friends at one of the following meetings!:

Snohomish County Kick-Off Meeting
Wednesday, February 15th at 7:00 p.m.South Everett Library – Evergreen Branch9512 Evergreen Way, Everett, Directions

King County Kick-Off MeetingThursday, February 16th at 7:00 p.m.
University Heights Center
5031 University Way NE, Seattle, Directions

Thurston County Kick-Off Meeting
Tuesday, February 21st at 7:00 p.m.
Plenty Restaurant (in the meeting room in back)
200 4th Ave W, Olympia, Directions

Pierce County Kick-Off Meeting
Tuesday, February 21st at 7:00 p.m.
U.S. Congressman Jay Inslee will be joining us at this meeting!Tacoma Nature Center
1919 S. Tyler Street, Tacoma, Directions

Clark County Kick-Off Meeting
Wednesday, February 22nd at 7:00 p.m.
Vancouver Housing Authority (Community Room)
2500 Main St #100, Vancouver, Directions

Whatcom County Kick-Off Meeting
Thursday, February 23rd at 7:00 p.m.
Whatcom Educational Credit Union
600 E Holly St, Bellingham, Directions

Spokane County Kick-Off Meeting
Tuesday, February 28th at 7:00 p.m.
At the Community Building
35 W Main, Spokane, Directions

Tri-Cities Kick-Off Meeting
Wednesday, March 1st at 7:00 p.m.
Pasco Library Meeting Room
1320 W Hopkins, Pasco, Directions

Walla Walla Kick-Off Meeting
Wednesday, March 1st at 1:00 p.m.
Reid Campus Center Café on the Whitman Campus
345 Boyer Ave, Walla Walla, Directions“

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Energy Security Initiative

Posted on February 5th, 2006 | Comments Off on Energy Security Initiative

Progressives have the opportunity to help push a positive initiative this year in Washington state. Energy activists have come together to push for an Energy Security Initiative.

The initiative’s goal is to require that by 2020 15% of the electricity produced in Washington State is from renewable sources.

To sign up to help you can visit their website at Energy Security Now . They need to collect over 220,000 valid signatures of Washington voters by the beginning of July.

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Exxon Gets Bush’s Blessing

Posted on February 2nd, 2006 | Comments Off on Exxon Gets Bush’s Blessing

Terrance Hunt writing for the AP says in today’s PI says that

“President Bush defended the huge profits of Exxon Mobil Corp. Wednesday, saying that they are simply the result of the marketplace and that consumers socked with soaring energy costs should not expect price breaks.”

Bush, a former Texas oilman, said of oil costs, “I think that basically the price is determined by the marketplace, and that’s the way it should be.”

On Tues, in our blog “Where Your Spare Change Went” we questioned the excess profits of Exxon Mobil and other oil companies being made at the expense of the American public. How is the price determined by the marketplace; I don’t set prices? What am I supposed to do when my heating oil bill comes; refuse to pay? Give me a break.  How about imposing an excess profits tax on oil companies, like proposed by some in Congress and use it to fund programs for conservation and alternative fuels?

Government has a duty to protect the little guy, not just the big corporations soaking the American public for all they can. Except not the Republicans, who see their duty to help the corporations and wealthy with more tax breaks. Wealth continues to concentrate in the hands of a few in America.

Wealth is concentrated in the hands of a few in America. In 2001 according to figures from the Federal Reserve Board, the top 10% of households in America own 71% of the wealth. The bottom 40% own less than 1%. Between 1983 and 2000, the top 20% increased their wealth distribution from 81.3% to 84.4%. The bottom 40% went from .9% to .3%. And Bush wants more tax breaks for the wealthy.

A June 2004 Merrill- Lynch report noted that the concentration of wealth at the top resumed upward spiral in 2003. It attributed it to a “…a rising stock market in 2003, and the decision of the wealthy early on in the year to significantly increase their stock holdings. On average, high net worth individuals (HNWIs, as the report labels them) increased their investments in stocks to 35 percent of their holdings in 2003 from 20 percent in 2002.”

The American Way is the “free enterprise way” which is the George Bush Way which is the Republican Corporate Mantra. Get used to it. If you don’t like it you need to get the Republicans and George Bush types out of office. They’re working for themselves – the ruling elite – that already have the wealth and they intend to keep it and accumulate as much more as they can. When they say they are for lower taxes they just aren’t telling you the whole truth – they are for lower taxes for themselves and if you’re foolish enough to still believe that they are out to help the majority of American citizens then they have you brainwashed. Just open your eyes and look around.

Aren’t you the one who is going to pay more to go to the doctor, pay more for your medicine and more to send your kids to college? The Republican Congress just cut money for these programs It’s been their plan all along. Cut taxes for the rich and cut programs for the poor and middle class. It’s the Ruling Class’s Way.


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Where Your Spare Change Went!

Posted on January 31st, 2006 | Comments Off on Where Your Spare Change Went!

The headline on page 1 of the NY Times today blares out “At Exxon Mobil A Record Profit But no Fanfare”. Why should you not be surprised at the “Record Profit”? It’s the American way.

But in this case Exxon Mobil is not tooting it’s horn saying look at how successful we are – they are running ads in major newspapers trying to downplay their success. Because even they know their profit is excessive and obscene.

What is their success? Only that they set a record in accumulating $36 billion dollars in profits in 2005. And this isn’t the first time. They set a previous high in corporate profits last year of $25.53 billion dollars. In 2003 they made $20.93 billion dollars but this was only 5th in all time corporate profits for a year. Still they now own the record for making the most money in 3 out of the last 5 years.

Exxon Mobil said their overall profit rose over 40% last year. As Americans paid more for heating oil and gas how many do you think saw a 40% rise in their income? How many do you think instead saw an over 40% rise in the cost to heat their houses and drive their cars to work?

Is Exxon Mobil alone? Hardly? Last Thursday the NY Times carried a small article on page C6. Its headline was Profit Grows 51% for Conoco Philips.

On Jan 27, 2006 the Chevron atticle read “Rising Oil Prices Lift Chevron Profit to Quarterly Record.” Chevron reported record profits of $14.1 billion for 2005. The combined total of Chevron for 2004 and 2005 was a record $27.4 billion profit.

Isn’t it time someone questioned our priorities? Isn’t there something morally wrong when the average citizen struggles to make end meet in the face of rising oil and gas prices and the oil companies meanwhile are seeing record profits? Where is our government? Oh yeh they’re busy fighting a ‘war” in Iraq to make certain we can get more oil so prices don’t get out of control.

Remember this is the same Republican government of Bush that sat on the sidelines while Enron manipulated the makets to gouge electric consumers. It’s the free market system. It’s free enterprise they say. Right. That’s why Congress last November inserted more than $2 billion in additional tax breaks for oil and gas companies in the enegry legislation they passed.

Meanwhile we see cuts in college loans and heath care for the poor. Its a reverse Robin Hood mentality. Take from the poor and give to the rich. Congress should repeal the $2 billion giveway and impose an excess profits tax on the oil companies. Time for some compassion.

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