Joe Biden is pushing seven of the world’s largest oil firms to take action to assist in lower gas costs after accusing them of purposefully aggravating the financial hardship on Americans after the average price per gallon topped $5.00.
The president will write letters to Marathon Petroleum Corp., Valero Energy Corp., ExxonMobil, Phillips 66, Chevron, BP, and Shell on Wednesday, demanding that they cut gas prices and account for the increase.
Biden said in a letter to Exxon that the differential ‘of more than 15% at the pump is the result of historically large profit margins for refining oil into gasoline, diesel, and other refined products,’ according to Axios.
President Joe Biden wrote to Exxon Mobil CEO Darren Woods that Refiner margins for refining gasoline and diesel have tripled since the beginning of the year, and are currently at their best levels ever recorded. Joe Biden has reportedly threatened to use his “emergency power” if oil firms do not take measures to reduce gas costs.
Gas prices are highest in California, where some places are exceeding $7.00 per gallon, and lowest in Georgia, where a typical gallon of gas costs $4.50. Oil refiners must explain the “gap” between the price they pay for oil and the amount they charge Americans at the pump, according to Biden.
Joe Biden Pins The Blame On Russia And The Greedy Oil Companies
Oil price increases have been blamed by the administration on Russia’s ongoing invasion of Ukraine, which began in late February, as well as greedy Big Oil firms.
The heads of the seven oil corporations were urged to attend an ’emergency meeting’ with Energy Secretary Jennifer Granholm through the National Petroleum Council on Wednesday to further examine cost-cutting ideas. He also charged them with failing to increase production in order to maintain higher prices.