January 30, 2006- Rep. Markey Reacts to ExxonMobile Earnings Report
WASHINGTON, D.C. – Representative Edward J. Markey (D-MA), a senior Democratic Member of the House Energy and Commerce Committee, today released the following statement in response to ExxonMobil’s disclosure that its profits had risen by 27 percent to a record of $10.7 billion for the fourth quarter of 2005, and that the company’s earnings for all of 2005 had risen to a record of $36.1 billion – the highest earnings ever reported by any public company in history:
“ExxonMobil’s record profits may be great news for the company’s shareholders, but it is grim news for American consumers who are paying through the nose for gasoline at the pump and home heating oil for their homes.
“This report underscores the fact that the Bush Administration has presided over a failed national energy policy that’s given billions in tax breaks, royalty-free drilling on public lands, and special interest regulatory subsidies to ExxonMobil and other giant oil companies. The Bush policy of subsidizing wealthy oil companies has proven to be wildly effective in boosting oil company profits, but it continues to harm American consumers and threaten economic growth.
“Tomorrow, President Bush comes to Congress to deliver his State of the Union Address. It is time for the President to acknowledge that his policy of subsidizing the oil companies has failed, and to announce his willingness to join with Democrats who have proposed new initiatives aimed at ending our dependence on Middle Eastern oil within 10 years.”
“I have sponsored or cosponsored several pieces of legislation aimed at repealing the Bush subsidies to ExxonMobil and other big oil companies. These include proposals to repeal the special tax breaks that the oil companies received from the recently-enacted Energy Policy Act of 2005, eliminate these companies ability to drill for free on public lands when oil and natural gas prices are at record highs, and eliminate special exemptions these companies received in the energy bill from certain environmental laws. The President should support this type of legislation.
“In addition, Democrats have called for a new R&D initiative on alternative energy sources and for concrete measures to ensure the rapid deployment of alternative fueled vehicles. I am preparing legislation that would mandate that all motor vehicles sold in the U.S. be capable of running on ethanol or other alternative fuels.”
Rep. Markey, a long time advocate for cleaner, safer energy technology introduced the Windfall Profit and Consumer Assistance Act of 2005 in November – this legislation would exempt profits that are reinvested by oil companies to increase refinery capacity or invest in new production. Democrats have also proposed energy bills to increase research for alternative fuels and hybrid and hydrogen fueled vehicle technologies.
For more information on Rep. Markey’s work on energy policy check out http://markey.house.gov/
FOR IMMEDIATE RELEASE
CONTACT: Tara McGuiness