GoodFuels

Taxpayers handing $33 bln to oil companies

Friends of the Earth is reporting today that taxpayers will hand over $33 billion in giveaways to oil companies over the next five years.  The report (pdf), released today, reveals that oil companies are being given “at least $23.2 billion from tax loopholes, $3.8 billion in royalty rollbacks, $1.6 billion in direct subsidies for research and development, and $4.3 billion through accounting gimmicks.”  The giveaways have increased dramatically since the 2005 energy bill, according to the report.

FOE’s Erich Pica, who authored the report, says “Congress can and should end these subsidies and invest this money in promoting affordable clean energy instead.”

Clean up in the reality aisle!

TexasPriceCheck.com calls for a “Clean up in the reality aisle!” and exposes the real reason behind rising food prices. Rising energy costs.

The website, created by a consortium of Texas food producers, gives consumers an interactive way to get the facts about where their dollars are going when they purchase food from the grocery store and the four reasons for rising food prices.

REASON 1: The Cost of Oil
Oil is present at every step of the way in food production, from fueling tractors and processing grain, to packaging and shipping final products. Since food and oil prices are rising in tandem, reducing our dependence on oil is crucial to easing the burden of food costs.

REASON 2: Drought
In the last two years, grain exports from Canada and Australia plummeted by a fifth due to major droughts, leading to a substantial decrease in the world’s grain supply. Australia’s rice crop alone is down by 98%.

REASON 3: Trade Restrictions
More than half a dozen major grain-producing nations—including powerhouses such as Russia, China and India—have implemented export bans and trade restrictions in order to keep down domestic food prices.

REASON 4: Increased Demand
The underlying long-term cause of the rising tide of food prices is increased demand from developing countries, especially China and India. As living standards rise, people consume more calorie-rich food, which puts pressure on prices.

On average, farmers get about 19¢ of each retail food dollar, with the other 81¢ going to labor, energy, packaging and marketing costs.

Head over to Texas Price Check to get the “Texas Truth”: