Democrats are forging plans to raise tax rates on companies and wealthy individuals next year if they hold the White House and win control of both houses of Congress, as the party’s leaders increasingly see tax policy as a winning issue on the campaign trail.Senate Finance Committee Democrats met Thursday to discuss President Donald Trump’s … Read more
Donald Trump allegedly offered Big Oil executives 0 billion in tax breaks if they donated billion to his campaign. Congressional Democrats are investigating this potential quid pro quo deal. Joe Biden plans to eliminate these tax breaks for the oil and gas industry if elected. The fossil fuel industry is lobbying to maintain these tax breaks, which are set to expire next year. Some attendees at Trump’s fundraising dinner at Mar-a-Lago included executives of smaller oil companies focused on fracking and gas exporting. The event was also attended by individuals with controversial backgrounds in the oil and gas industry.
States, like California, are exploring alternative ways to recoup lost gas tax revenue by piloting a “road charge” program that charges drivers based on the number of miles they drive rather than how much gas they purchase. The program is optional and participants can earn up to 0 in incentives for providing feedback on their experience. The state is considering this alternative revenue source due to the decrease in gas tax revenue collection and the shift towards electric vehicles. The program includes security protocols to protect personal information, and no action or changes are currently being proposed.
A spike in power usage from artificial intelligence (AI) data centers could significantly boost natural gas demand in the second half of the decade, with as much as 8.5 billion cubic feet per day of natural gas required additionally to match the rise in demand.
Fact: Future LNG demand is expected to be led by Asia, particularly China, with global LNG demand projected to increase to about 700mtpa by 2040.
Egypt is unlikely to export any LNG to Europe this summer due to declining production at the Zohr field, which is prioritizing domestic energy needs.
Britain is proposing to build new gas plants to improve energy security and risks facing blackouts without them. The Department for Energy Security and Net Zero (DESNZ) stated that new gas plants will be needed beyond 2030. Energy Minister Claire Coutinho is expected to outline a new strategy for gas, emphasizing the need for gas to back up renewables to avoid blackouts. Critics argue that this approach could hinder the country’s goal of reaching net zero emissions by 2050 and increase reliance on expensive fossil fuels. Currently, about a third of Britain’s electricity comes from gas plants. DESNZ also proposed a zonal market for electricity pricing, where consumers would pay different rates based on their location relative to power generators. This method is already used in some European countries like Italy, Sweden, and Norway. These announcements are part of a consultation into the Review of Electricity Market Arrangements (REMA) launched in 2022.
President Nikos Christodoulides warned of significant increases in motor fuel prices at the end of the month due to the end of reduced consumption tax and the introduction of a green tax. The end of the consumption tax reduction is expected to raise gasoline and diesel prices by 8.3 cents per litre, with an additional 5 cents possible from the green tax. The finance ministry aims for the green tax to start on April 1, as part of the Recovery and Resilience Plan. This could lead to at least a 14-15 cent increase per litre in fuel prices. The average price for 95 octane gasoline in Cyprus was €1.38 per litre, and diesel was €1.51 per litre. Prices are not expected to exceed the July 2022 record of €1.83 per litre soon. However, the green tax is set to increase yearly, reaching 25 cents by 2033, with VAT also applied. The Carbon Tax on Energy Products Act 2023 proposes this tax increase, affecting motor fuels, manufacturing fuels, and polluting industries.