The price of a barrel of crude oil has just about doubled in the past two years, but statistics compiled by The American Progress Action Fund last week in a report entitled “Pain at the Pump, Profits in the Boardroom” reveals that gasoline prices over that same span have increased by 174%. The report documents in excruciating detail that the petroleum industry is not feeling the pain being experienced by consumers at the gas pump.
The report first takes aim at the annual profits of the oil companies:

  • ExxonMobil annual profits are up from $11.46 billion in 2002 to $25.33 billion in 2004 (+ 121%).

  • ChevronTexaco annual profits are up from $1.13 billion in 2002 to $13.33 billion in 2004 (+ 1080%)

  • ConocoPhillips annual profits are up from $1.51 billion in 2002 to $8.13 billion in 2004 (+ 438%)

  • BP annual profits are up from $6.92 billion in 2002 to $17.075 billion in 2004 (+ 147%)

  • Royal Dutch Shell annual profits are up from $9.58 billion in 2002 to $18.56 billion in 2004 (+ 94%)

But while consumers have suffered, these have been happy times for Oil company CEO’s:

  • Lee R. Raymond of ExxonMobil is projected to earn $25.77 million in 2005 including salary, bonus, and stock gains. That’s a modest 9.1% increase over 2003.

  • David O’Reilly of ChevronTexaco will make an estimated $8.2 million in 2005, up 74% from 2003.

  • James Mulva of Conoco Phillips will earn an estimated $16.79 million in 2005, a painful pay cut of 7% versus 2003, but a welcome 104% increase versus2004.

The report informs us that “oil and gas CEO’s had the largest percentage increases in their compensations compared with CEO’s from other sectors in 2004.”

The report notes that there has been “little action on the part of the administration or Congress to increase conservation or energy efficiency, or to take bold steps toward alternative sources of energy.” It notes that oil and gas companies have poured nearly $450 million into the coffers of political parties, politicians and lobbyists in order to protect their interests. It seems to be working:

In the last three national election cycles the oil and gas industry contributed $84,493,406 into political campaigns — 79% of that going to Republicans.

Comparing the last three cycles to the previous three:

  • oil & gas industry political contributions over-all have increased by 29%.

  • oil & gas industry political contributions to Republicans have increased by 41%.

  • oil & gas industry political contributions to Democrats have decreased by 3%.

Little wonder that the Republican leadership in the House bent the rules and twisted arms to narrowly push through yet another industry-friendly energy bill this past Friday to Democrat shouts of “shame, shame.”

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