Staff Reports
Gas prices have been on the rise, putting a strain on American families, and now President Joe Biden is escalating his fight against oil. He plans to boost gasoline production by increasing government fees and obligations by 33 percent, a move that has not been seen in over 60 years.
War on Gas: Biden Dramatically Increases Oil Drilling Costs in Heartless Movehttps://t.co/5xoWJjWU4M
— Warner Todd Huston (@warnerthuston) April 18, 2024
Amidst a struggling economy, Americans are feeling the pinch of soaring costs. Gasoline prices have surged by over 14 percent in recent months, with the national average reaching $3.63 per gallon. This is a significant increase compared to the $2.26 per gallon average when President Trump left office.
The U.S. Energy Information Administration reported that prices began to climb in April 2020, and while they briefly dropped in June 2022, they started rising again in January 2023.
President Biden’s Interior Department has raised royalty rates for oil drilling by more than one-third, from 12.5 percent to 16.67 percent. This represents a 33 percent increase for the industry, hitting Americans hard as they grapple with high gas prices.
Additionally, the minimum leasing bond paid by energy companies to the federal government is set to increase from $10,000 to $150,000 per well, marking the first hike in over 60 years. These moves are part of President Biden’s efforts to restrict oil drilling in pursuit of climate change goals.
While Democratic lawmakers view these changes as a step towards a more balanced leasing system, Republican leaders argue that President Biden is waging a war on the American energy sector. They warn that these policies could lead to the destruction of millions of jobs and overall harm to the U.S. economy.
As gas prices continue to climb, the impact of President Biden’s actions on the energy industry remains a topic of concern for American families and businesses.
