Senate Majority Leader Chuck Schumer and twenty-two other Democrat senators penned a letter urging the Department of Justice to take action against alleged collusion and price-fixing within the oil industry.
The Democrat team highlighted a recent investigation by the Federal Trade Commission. This investigation had already revealed evidence of oil executives engaging in price-fixing practices. These actions, they claimed, resulted in increased energy costs for American households and businesses.
The FTC probe implicated Scott Sheffield, the former CEO of Pioneer Natural Resources. Sheffield allegedly conspired with OPEC and OPEC+ to potentially inflate crude oil prices. Despite approving Exxon Mobil’s $60 billion acquisition of Pioneer on May 2, the FTC prohibited Sheffield from assuming a position on the new company’s board of directors.
In their letter, the democrat senators requested the Justice Department launch a comprehensive inquiry into potential violations of the Sherman Antitrust Act across the industry. The democrat team also raised concerns about the alleged collusion between “Big Oil” and OPEC. They stressed the national security implications of this collaboration, which benefit countries seeking to undermine the United States. The protection of consumers, small enterprises, and the general public from deceptive petroleum market practices was deemed a top priority.
Also, Senator Sheldon Whitehouse and Representative Jamie Raskin, both democrats, have urged the Justice Department to investigate Exxon, Chevron, and other oil giants. They allege that these companies intentionally misled the public for years regarding the climate impact of fossil fuel consumption.
Meanwhile, Republicans have criticised President Joe Biden’s energy strategies, which include halting liquefied natural gas exports. Additionally, he imposed restrictions on new oil and gas leases in the Alaskan petroleum reserve. He also instituted higher drilling fees for companies operating on federal lands.
