Big oil has been spending big money in Washington, but it may surprise you that gas and oil companies spend more money on corporate lobbying than individual campaign contributions. Why chose lobbying over campaign contributions? Lobbying is more effective at crushing energy bills, as we have seen this year. As Ralph Nader explains, “The corporate lobby in Washington is basically designed to stifle all legislative activity on behalf of consumers.” It’s no coincidence that recently the Senate blocked the extension renewable energy tax credits.
Thus far in 2008, oil and gas companies have spent $55,339,015 million on lobbying in an effort to convince lawmakers to vote in the industry’s favor and against renewables. Not surprisingly, the top spender is Exxon-Mobil. At the current rate of spending, the industry is set to break last year’s record of $83 million. Big Oil defends this increased spending in response to more energy bills being on the “menu” and denies it is responsible for the failure of these bills; however, lobbying dollars speak for themselves. According to CNN:
The oil industry may have not gotten its drilling wish list just yet, but so far they have been able to avoid higher taxes.
Meanwhile, the renewable energy folks haven’t seen a big increase in funding.
Looking at the dollars spent lobbying Congress, that may not be surprising. The renewable industry and their allies in the environmental movement have spent a combined $19 million lobbying Congress this year – half what the oil industry has spent.
Another reason Big Oil favors lobbying is that direct campaign contributions are restricted to individuals, whereas corporations may fund lobbying. Even so, oil industry employees have contributed $1.4 million to John McCain’s campaign in 2007-2008, more than any other politician in history and three times more than Obama has received! 6 of the world’s 10 biggest corporations are oil companies, and there is a lot at stake in the presidential election.
In defense of corporate lobbying, lassiez-faire economist Thomas Sowell believes that it is an example of a group having better knowledge of their interests than individual citizens. I find this thought insulting and simplistic, especially when I look at the top industries funding lobbying. The oil and gas industry may have spent over $55 million this year, but that is less than half the money spent by the pharmaceutical industry. Somehow, I don’t trust these corporations have my best interest at heart when so much money is at stake. To quote Nader again, “The use of solar energy has not been opened up because the oil industry does not own the sun.” Too bad the sun can’t hire lobbyests.
Image: Greenpeace
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[...] Big Oil loves the GOP. Consider the fact that Chevron named an oil tanker after Condoleezza Rice, and that George W. Bush actually said in 2002 that “We need an energy bill that encourages consumption”, I have no faith in the GOP to make us energy independent. Swanson states we were energy independent in 1950; we will never be able to drill our way back to this level without drastically cutting consumption. I’m not sure it is even possible, since we have already reached peak oil production in this country three decades ago. Bush’s policies and wars have made us more dependent on foreign oil. McCain is delusional if he thinks we can drill our way out of this problem, it won’t even buy us enough time to develop alternative energy solutions. [...]