Driven By Gulf Spill, Menendez Continues Fight Against Big Oil

After repeated failed attempts to force the Senate to vote on a bill that would hold oil companies more liable for damages caused by spills, Sen. Bob Menendez (D-N.J.) today announced a bill aimed at recouping more tax dollars from such corporations.

The Close Big Oil Tax Loopholes Act, which Menendez is co-sponsoring with Sens. Bill Nelson (D-Fla.) and Jeff Merkley (D-Ore.), would rescind a number of tax breaks that large oil companies currently receive; breaks Menendez believes are unfair.

“The flow of revenues to oil companies is like the gusher at the bottom of the Gulf of Mexico; heavy and constant,” he said in a statement Monday. “There is no reason for these corporations to shortchange the American taxpayer.”

Yet, while Menendez says the bill would generate roughly $20 billion over the next decade, the intent of the legislation appears to simply be to punish the oil industry for profiting. Of the bill’s eight provisions, only one -- a proposal to place an excise tax on oil and gas produced on the Outer Continental Shelf (OCS) -- seems rooted in consumer protection.

Menendez, however, said the bill is necessary to prevent oil companies from continuing to gauge their customers.

“They certainly aren’t using the extra money they get from exploiting these loopholes to help bring down the price of gas for our families.”