Memo: Candidates Go on Offense Against Big Oil Ahead of Midterms
TO: Interested Parties
FROM: Fossil Free Media
DATE: Thursday, October 27, 2022
SUBJECT: Democrats in Key Races Go on Offense: GOP Ties to “Big Oil” A Clear Liability as Energy Prices Rise
In key races around the country, Democratic candidates are embracing a winning message and policy proposal that speaks directly to concerns over high gas prices: blaming Big Oil and calling for a windfall profits tax. Poll after poll shows that the electorate wants more accountability for oil and gas industry profiteering and support for the windfall tax proposal. A policy that puts money directly in the pockets of the American people as winter approaches would help overcome attacks on inflation and show that the Democrats are addressing the root of the problem: Big Oil’s greed and their GOP enablers.
Last week, President Biden admonished major oil and gas companies for using record-breaking profits to purchase stock buybacks and enrich shareholders while working Americans struggle to pay at the pump. However, the administration has pursued mixed messaging throughout the year and has thus far failed to fully embrace a windfall profits tax or gone on offense about Republican ties to oil and gas. Other Democrats aren’t waiting around:
Nevada Senator Catherine Cortez Masto: “While Big Oil companies rake in record profits, it's Nevadans who pay the price at the pump. But we know @AdamLaxalt won't hold Big Oil accountable - he's only out for himself, not Nevadans.”
New Hampshire gubernatorial candidate Tom Sherman: “Chris Sununu knows that energy rates are increasing more in NH than in surrounding states. It's because years of catering to his fossil fuel donors have left us without a range of energy options. As governor I'll work to expand our energy options and lower costs.”
New Hampshire Senator Maggie Hassan: “Oil prices have dropped nearly 30% in a week, yet gas prices remain high. We must hold Big Oil accountable for lining its coffers while Americans foot the bill.”
Pennsylvania gubernatorial candidate Josh Shapiro: “Last year, the CEOs of big, public energy companies took home over $20 million. We don't need to give them more money. But that's what Republicans’ plan would do. My plan would put money directly in your pockets — not the big oil CEOs’.”
Pennsylvania Senate candidate John Fetterman: “Washington doesn’t need more apologists for Big Oil — there are already plenty. What Washington needs is more leaders who will stand up to special interests + hold these companies accountable for ripping us off. Dr. Oz will stand by + let them price Gouge. I will fight back.”
Ohio Senate candidate Tim Ryan: “American energy independence only happens if we invest in good-paying energy sector jobs at home like we never have before. It also requires us to finally hold wealthy CEOs accountable for ripping off the working class to pad their profits. We have to do both.”
Wisconsin Governor Tony Evers: “NEWS: Today, I signed an executive order to prohibit price gouging of gas and diesel fuel across our state. National inflation is causing the cost of everyday household goods and prices at the pump to go up, and Wisconsinites all across our state are struggling to keep up.”
Wisconsin Senate candidate Mandela Barnes: “Americans are struggling with high gas prices, and yet today, every single Republican in the House voted AGAINST a bill that would protect people from gas $$$ surges. The GOP only cares about their special interest groups and donors—and working people are paying the price.”
Colorado Governor Jared Polis: “We can end our costly reliance on volatile natural gas prices altogether and avoid any future surcharges by moving rapidly to wind and solar energy, and helping Coloradans move to the use of high-efficiency electric heat pumps for heating their homes.”
Colorado Senator Michael Bennet: “Big oil companies are making record profits while Coloradans struggle to make ends meet. I'm working to lower costs and help working families.”
In August, several Democratic senators introduced the Taxing Big Oil Profiteers Act, which would double the corporate tax rate on excess profits and tax stock buybacks. This proposal joined the Big Oil Windfall Profits Tax Act introduced by Rep. Ro Khanna and Sen. Sheldon Whitehouse, and the Stop Gas Price Gouging Tax Act introduced by Rep. Peter DeFazio.
Polling bears out the popularity of this approach, and the need to get such legislation passed. Earlier this year, Hart Research Associates on behalf of Climate Power and the League of Conservation Voters released a poll that found a staggering 80 percent of voters supporting a windfall profits tax. Another poll in July showed three in five Americans agree that big oil and gas company CEOs are using the pandemic and war in Ukraine as an excuse to raise prices. Meanwhile, countries including the United Kingdom and Germany have enacted successful windfall profits taxes in order to provide direct consumer relief.
The stakes in this fight are now even higher, following a New York Times report exposing the gas industry’s lobbying strategy should Republicans take Congress in November. The plan involves teaming up with Republican lawmakers to launch spurious oversight investigations of the Energy Department in an effort to derail a key component of the Inflation Reduction Act (IRA) that would provide rebates to homeowners and renters to replace gas appliances with clean electric ones. The ultimate goal being to keep Americans reliant on dirty natural gas to heat their homes and cook their food.
In the long term, the only way to true energy independence is through a transition to domestic clean energy. The IRA was a significant first step in providing incentives to jumpstart a clean energy economy, but it’s clear that oil and gas companies will do everything in their power to stop it. And after a year of price gouging, they have quite the war chest to back their efforts.
It’s not too late for more Democrats (and the White House) to make a closing argument about the profiteering of oil companies and their plans to maintain their profits by working with a Republican Congress to keep America hooked on fossil fuels. Advancing a windfall profits tax would bring real, direct relief to Americans over the winter while sending a clear message that the electorate wants to hear.
