Biden admin admits key talking point of gas price crisis it used to shift blame onto oil industry was wrong



The Biden administration quietly admitted this week that a key talking point it used to deflect responsibility for the gas price crisis last year was not true.

What was the claim?

As gas prices skyrocketed to record highs, the Biden administration accused the oil industry of sitting on 9,000 already-approved oil lease permits.

It claimed that instead of increasing production and putting more oil and gas in the market, the oil industry was raking in record profits while refusing to reinvest that income into its businesses.

"They have 9,000 permits to drill now. They could be drilling right now, yesterday, last week, last year. They have 9,000 to drill onshore that are already approved," Biden said last March. "So let me be clear: They are not using them for production now. That’s their decision. These are the facts. We should be honest about the facts."

Numerous Biden administration officials repeated the claim for months.

But what are they saying now?

The Bureau of Land Management, which manages the leases, revised the approved number down to fewer than 7,000, blaming the Trump administration for causing a technical error.

Fox News reported:

The Bureau of Land Management revised the current number of approved applications for permits to drill — which oil and gas companies are required to file once they identify a deposit on a lease that can be tapped — down from an estimated 9,000 to less than 6,700. The BLM, a subagency of the Department of the Interior, blamed the revision on a Trump-era technical change that it hadn't properly accounted for.

The BLM said in a statement, "As of February 2023, companies have over 6,600 approved and unused drilling permits available on federal lands. This number has been updated to account for a reporting discrepancy resulting from a transition to a new database in mid-2020."

Still, the Biden administration maintained its anti-oil rhetoric.

"The record profits oil companies made in 2022 and the thousands of approved but unused drilling permits they are sitting on shows that there is nothing getting in the way of increasing oil production except Big Oil’s own decision to funnel their profits into the pockets of shareholders and executives," an official told Fox News.

Anything else?

While there are thousands of approved leases that are not being used, extracting oil from approved land is not easy. It could take years to develop land — if there is even a viable oil reservoir to be tapped.

The oil industry made it clear last year that the Biden administration was not honest about the time and money it requires to develop functioning wells on land with an approved lease.

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Reporter tries to connect gas prices and race — but Energy Secretary Granholm refuses to buy it



Reporter April Ryan tried to argue on Monday that "urban areas" are disproportionately impacted by the gas price crisis and even suggested that race played a role.

But not even Energy Secretary Jennifer Granholm bought it.

What happened?

At the White House press briefing, Ryan claimed without evidence that urban communities did not benefit from government action when gas prices were sky-high last year.

"When the president did release the strategic oil reserves .... there were some communities that felt the relief. Other communities did not, particularly those in urban areas; there was price gouging, etc.," Ryan began. "Could you explain why there was such a difference in communities with gas prices in one community versus the other?

In response, Granholm noted that there was a difference — but in rural communities.

"If you’re not near a refinery, that’s another reason why the transportation costs are tacked on at the pump," she said. "So you’re seeing, for example, when refineries go down in regions, then the prices go up in those regions much more than they would nationwide."

01/23/23: Press Briefing by Press Secretary Karine Jean-Pierre youtu.be

Not satisfied, Ryan then explicitly invoked race.

"But specifically, the urban areas. Because there was still a big pinch in urban areas with these gas prices when the outlying communities, particularly majority white communities, were seeing the drop to $3, and many of these urban areas were seeing $4 and $5 gas prices. Could you speak to that?" she followed up.

Granholm, however, did not buy the purported connection.

The secretary informed Ryan that most gas stations are owned by individuals and reiterated that price gouging is illegal. But it was difficult for Granholm to give a substantive response because Ryan made her claims without supporting evidence.

Anything else?

Earlier in the briefing, a reporter confronted Granholm about the Biden administration's double standard on gas prices. When they were high last year, Biden blamed Russia. But he took credit when they decreased.

With gas prices increasing again, the reporter asked, "The president took credit for the prices coming down. ... Does the president get credit for the price of gas going up?"

Granholm responded that "obviously" the price increase is "based upon international and climate events."

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Biden appears to promise 'no more drilling' when climate change protester confronts him about oil drilling



President Joe Biden promised "no more drilling" on Sunday after a climate protester confronted him at a campaign event for New York Gov. Kathy Hochul (D).

What did Biden say?

Toward the end of his speech, a clearly agitated Biden responded to a heckler who criticized him for not stopping offshore oil drilling.

"No more drilling," Biden declared. "There is no more drilling. I haven’t formed any new drilling."

"There are at least five more years of offshore drilling," the protester shouted back, "not in the Atlantic or the Pacific but in the Antarctic and off the gulf of Mexico."

Biden then told the heckler those leases were finalized "before I was president," explaining that "we’re trying to work on that and get that done." It is not exactly clear what Biden was referring to, but it sounded like he confirmed that his administration is trying to end offshore drilling, thus further decreasing American oil production and increasing our reliance on foreign energy.

Biden actually spoke with the woman after the event, the Washington Examiner reported.

None
— Gno (@Gno) 1667779411

What is the significance?

Biden's admission came just two days before voters nationwide head to the polls.

In an election where voters repeatedly say the economy is the most important issue — especially as Americans face sky-high inflation and high gas prices — promising to significantly cut American oil production will not help Democrats.

Even worse, Biden was already facing energy-related criticism after vowing to shut down every coal plant in the U.S.

"So it's going to become a wind generation," Biden said on Friday. "And all they're doing is it’s going to save them a hell of a lot of money and using the same transmission line that they transmitted the coal-fired electric on."

"We're going to be shutting these plants down all across America and having wind and solar power," Biden proclaimed.

The White House later claimed Biden's remarks had been "twisted to suggest a meaning that was not intended" — but Sen. Joe Manchin (D-W.Va.) did not buy it.

"President Biden’s comments are not only outrageous and divorced from reality, they ignore the severe economic pain the American people are feeling because of rising energy costs," Manchin responded in a statement.

"Comments like these are the reason the American people are losing trust in President Biden and instead believes he does not understand the need to have an all-in energy policy that would keep our nation totally energy independent and secure," he proclaimed. "It seems his positions change depending on the audience and the politics of the day."

Biden swiftly called out for egregious falsehoods about gas prices that aren't even close to reality



President Joe Biden was swiftly fact-checked Thursday for falsely claiming that gas cost more than $5 per gallon when he entered office.

Wait, seriously?

While speaking at a community college in New York, Biden recounted what he claims are his presidential successes — including bringing down the price of gas from record levels.

"Because of the actions we’ve taken, gas prices are declining. We’re down $1.25 since the peak this summer, and they’ve been falling for the last three weeks as well," Biden said.

"Today, the most common price of gas in America is $3.39 — down from over $5 when I took office," he added.

\u201cBIDEN: "The most common price of gas in America is $3.39. Down from over $5 when I took office."\n\nThe average price of gas when Joe Biden took office was actually $2.39.\u201d
— Townhall.com (@Townhall.com) 1666903377

There are numerous problems with Biden's statements.

Not only was the national average price of gas $3.76 per gallon on Thursday — nearly 40 cents more than what Biden claimed — but the price of gas was only $2.39 per gallon for the week ending on Jan. 25, 2021, according to the U.S. Energy Information Administration.

That means gas cost less than half per gallon when Biden took office compared to what he claimed on Thursday.

Moreover, Biden claimed that gas prices drooped because of the "actions" his administration has taken. But when gas prices were increasing last spring, Biden blamed the spike on Russia. The truth is that presidents cannot control the price of gas, but Biden clearly wants to blame others for the bad and take credit for the good.

Snopes, a fact-checker friendly to Democrats, swiftly called out Biden's claim as "false."

Anything else?

Of course, Biden also used his speech to attack oil companies, suggesting they are price gouging. Oil companies, however, do not determine the price of gas at the pump.

"We need to keep making that progress by having energy companies bring down the cost of a gallon of gas that reflects the cost they’re paying for a barrel of oil," Biden said. "There used to be a direct correlation: A barrel of oil goes down, the price at the pump goes down at the same time."

But, according to calculations by the Dallas Federal Reserve, only 59% of the price at the pump is the cost of oil.

Gavin Newsom calls for  emergency tax to combat high gas prices in California and gets mocked mercilessly online



Democratic California Gov. Gavin Newsom announced an emergency session of the state legislature to address what he called the "greed of oil companies" and he received a hefty helping of mockery in return.

"I'm calling for a Special Session to address the greed of oil companies. Gas prices are too high," tweeted Newsom.

\u201cNEW: I'm calling for a Special Session to address the greed of oil companies. Gas prices are too high. Time to enact a windfall profits tax directly on oil companies that are ripping you off at the pump.\u201d
— Gavin Newsom (@Gavin Newsom) 1665175388

"Time to enact a windfall profits tax directly on oil companies that are ripping you off at the pump."

While gas prices have fallen significantly after hitting a high in June, the same prices in California are far outpacing the rest of the country. The national average for a gallon of gas is about $3.89 according to the Automobile Association of America, while the average cost per gallon in California is $6.39, or 64% greater than the rest of the country.

Newsom was hit with ridicule and mockery over the claim that gas prices were simply the result of greed.

"Gas prices in Florida are half the price in California. Why is it only California with $7 gas right now!" asked Christina Pushaw, the rapid response director for Florida Gov. Ron DeSantis (R).

"Really strange how oil companies only get really greedy when they cross the California border," read another popular response.

"Only an economically illiterate Democrat would think enacting yet another state tax on petroleum companies will bring about a decrease in gas prices LOL. You couldn't make up this level of stupid if you tried," responded another detractor.

"Gas prices are $3 less per gallon in Texas. I guess Texas uses different oil companies," said another critic.

Democrat President Joe Biden tried to bring down gas prices by calling on OPEC to increase production, but the conglomerate responded by decreasing production in what is widely considered a slap in the face to the president.

By contrast, Florida Gov. Ron DeSantis announced a gas tax holiday that drove prices down lower in his state. A gallon of gas in Florida costs about $3.22, far lower than that in California.

Here's more about gas prices in California:

Gov. Newsom considers special legislative session in response to rising gas priceswww.youtube.com

Reporter catches top Biden adviser in double standard after he praises Biden for 'historic action' to lower gas prices



A reporter confronted Jared Bernstein, a senior economic adviser to President Joe Biden, on Monday for engaging in a double standard when addressing the gas price crisis.

What happened?

Bernstein told reporters at the White House daily press briefing that he was not taking a "victory lap" for improve gas prices. But he also celebrated falling prices, attributing them, in part, to "historic actions taken by President Biden."

But James Rosen, a veteran White House reporter, quickly called out Bernstein for an apparent double standard.

After all, Biden spent months blaming record-high gas prices on Russian President Vladimir Putin and the oil industry, repeatedly accusing oil and gas companies of profiteering. But now that gas prices are decreasing, Biden gets to take credit for it?

"Aren’t you having it both ways, Jared?" Rosen asked. "Because when the gas prices go up, it’s got nothing to do with the president; when we see some decline, you want him to get the credit."

Bernstein denied that he was engaging in a double standard, but still praised Biden for doing "everything" in his power to lower gas prices. Rosen, however, was not buying the explanation.

"So when [gas prices] rose, it was Putin’s fault. When they’re coming down, [Biden] gets the credit," Rosen pushed back.

After disputing the "framing" of Rosen's pushback, Bernstein tripled-down on Biden "working tirelessly" to produce "real results" for Americans.

"I very much disagree with that framing," Bernstein told Rosen.

"I think what’s happening here is a president who is working tirelessly to address the largest constraint — probably the toughest constraint — facing American households right now: the budgetary impacts of these elevated prices," he added. "And we’re showing you here today some real results that partially derived from concrete efforts he’s taken."

07/18/22: Press Briefing by Press Secretary Karine Jean-Pierre youtu.be

Gas prices are dropping, analysts say, because of a decrease in demand and falling oil prices. There is no evidence, in fact, that action taken by the White House has helped ease pain at the pump.

Unfortunately, experts say Americans are not in the clear.

"We’re not completely out of the woods yet — we could also see a sharp reversal in the decline," said Patrick De Haan, head of petroleum analysis at GasBuddy, last week.

"There remains the risk of a spike in prices that could send us to new record levels in August, should any disruptions occur," he explained. "It could be a wild ride, but for now, the plummet at the pump shall continue."

Joe Biden's own words come back to haunt him after he tries to blame Republicans for economic woes



President Joe Biden was reminded of his own words over the weekend after he attempted to blame Republicans for the ongoing economic woes plaguing Americans.

What did Biden say?

On Sunday, the president claimed that Republicans "are doing nothing but obstructing" the Biden administration's tireless efforts to help Americans and their checkbooks.

"Republicans are doing nothing but obstructing our efforts to crack down on gas-price gouging, lower food prices, lower healthcare costs, and hopefully, soon, lower your prescription drug costs," Biden said.

"This is not right," he added. "And that’s why this election is going to be so darn important."

\u201cRepublicans are doing nothing but obstructing our efforts to crack down on gas-price gouging, lower food prices, lower healthcare costs, and hopefully, soon, lower your prescription drug costs. \n\nThis is not right. And that\u2019s why this election is going to be so darn important.\u201d
— Joe Biden (@Joe Biden) 1657492200

The escalating rhetoric from Biden comes as the 2022 midterm elections inch closer.

Democrats, who could face significant losses, are trying to shed responsibility for economic woes — like sky-high inflation and record-high gas prices — because every poll shows those are the issues American voters believe are most important. Thus, Democrats believe that blame-shifting will deceive some voters into actually believing that Republicans, who do not control Congress or the White House, are responsible for economic problems.

Do people believe Biden?

Deflecting blame did not go over well. In fact, the social media response unearthed remarks from Biden that contradict his attempt to blame Republicans for problems happening under his watch.

  • In June 2020, Biden vowed: "It's hard to believe this has to be said, but unlike [Donald Trump] I’ll do my job and take responsibility. I won’t blame others. And I’ll never forget that the job isn’t about me — it’s about you."
  • In April 2020, Biden said: "The President needs to stop blaming others and do his job."
  • In August 2020, Biden promised: "Here’s my promise to you: If I’m elected president, I will always choose to unite rather than divide. I’ll take responsibility instead of blaming others. I’ll never forget that the job isn’t about me — it’s about you."

And what about Russian President Vladimir Putin? As Christina Pushaw, spokeswoman for Florida Gov. Ron DeSantis, pointed out, for months the Biden administration blamed skyrocketing gas prices and other economic woes on Russia's invasion of Ukraine. So which is it? Republicans or Putin?

A plethora of other people discounted Biden's blame-shifting by observing that Democrats currently exert the most influence over the direction of government because they control the White House and Congress.

Majority of Americans believe Biden's policies making economic woes worse as his approval drops to embarrassing level



The majority of Americans, according to a new poll, believe policies enacted by the Biden administration over the last six months are hurting them — not helping.

What are the details?

A new Monmouth University Poll released Tuesday reaffirmed that Americans believe the most important issues today are inflation and record-high gas prices.

In that same vein, the poll found that a majority of American adults (57%) believe that President Joe Biden's policies have hurt them and worsened inflation, while just 8% believe his policies have helped the inflation crisis. One-third of respondents said they believe his policies have had "no real impact."

\u201cNATIONAL POLL: Majority say federal government actions over the past six months have hurt them on family\u2019s top concern.\n\n57% - hurt\n 8% - helped\n34% - no impact\nhttps://t.co/icoqYkvs7M\u201d
— MonmouthPoll (@MonmouthPoll) 1657049478

"Economic concerns tend to rise to the top of the list of family concerns, as you might expect, but the singular impact of inflation is really hitting home right now. And most Americans are blaming Washington for their current pain," Patrick Murray, director of the Monmouth University Polling Institute, said.

It is no surprise, therefore, that nearly 9 in 10 respondents (88%) told Monmouth the country is heading in the wrong direction, a near 10-point increase from May. Only 10% of respondents said the country is heading in the right direction.

Unfortunately, 42% of respondents disclosed they are struggling to stay afloat financially, a surge of 18 points over last year. The increase of financially struggling Americans is "fairly [even] across the board when examining key demographic groups, including income, race, and partisanship," Monmouth explained.

Meanwhile, the poll found that Biden's job approval rating is severely underwater. Just 36% of respondents said they approve of Biden's job as president, while a whopping 58% said they disapprove.

The poll was conducted between June 23–27, which suggests why 5% of respondents said abortion and reproductive health is the most important issue impacting their family. In most Monmouth polls, the number of respondents that selected that issue was statistically insignificant.

Anything else?

The Monmouth poll confirms what most other surveys have shown all year.

According to the RealClearPolitics average, Biden's approval rating is about 19 points underwater, and more than three-quarters of Americans believe the country is headed in the wrong direction.

Interestingly, the Monmouth poll found that respondents were tied at 47% when asked which party they hope will control Congress after the 2022 midterm elections. Most other polls, however, show Republicans with a significant lead on the generic ballot.

White House spox gets schooled after trying to defend Biden from Jeff Bezos' criticism: 'Doubling down on stupid'



White House press secretary Karine Jean-Pierre tried to defend President Joe Biden on Sunday over a controversial tweet in which Biden demanded gas stations immediately lower their gas prices.

But her attempt fell completely flat.

What is the background?

On Saturday, Biden told gas stations they must lower their prices — and they better do so immediately.

"My message to the companies running gas stations and setting prices at the pump is simple: this is a time of war and global peril," Biden said. "Bring down the price you are charging at the pump to reflect the cost you’re paying for the product. And do it now."

\u201cMy message to the companies running gas stations and setting prices at the pump is simple: this is a time of war and global peril. \n\nBring down the price you are charging at the pump to reflect the cost you\u2019re paying for the product. And do it now.\u201d
— President Biden (@President Biden) 1656777600

The message generated stinging rebuke from many, including from Jeff Bezos, who said the message indicated the Biden administration painfully misunderstands basic economics.

"Ouch. Inflation is far too important a problem for the White House to keep making statements like this," Bezos responded on Twitter. "It's either straight ahead misdirection or a deep misunderstanding of basic market dynamics."

What did Jean-Pierre say?

Jean-Pierre directly responded to Bezos on Sunday and claimed the Biden administration does not misunderstand basic economics, charging the market is "failing the American consumer."

"Oil prices have dropped by about $15 over the past month, but prices at the pump have barely come down. That’s not 'basic market dynamics.' It’s a market that is failing the American consumer," Jean-Pierre said.

"But I guess it’s not surprising that you think oil and gas companies using market power to reap record profits at the expense of the American people is the way our economy is supposed to work," she added.

\u201cBut I guess it\u2019s not surprising that you think oil and gas companies using market power to reap record profits at the expense of the American people is the way our economy is supposed to work.\u201d
— Karine Jean-Pierre (@Karine Jean-Pierre) 1656869207

Omri Ceren, national security adviser for Sen. Ted Cruz (R-Texas), quickly pointed out why Jean-Pierre's response completely missed the mark.

"For oil to become fuel it has to be refined. There's a complex supply chain before and after refining," Ceren explained. "You guys disintegrated investment across that chain by signaling you'd dry up fossil fuel production at top. That's why."

\u201c"Basic market dynamics."\n\n*rubs temples*\n\nHI Karine,\n\nFor oil to become fuel it has to be refined. There's a complex supply chain before and after refining. You guys disintegrated investment across that chain by signaling you'd dry up fossil fuel production at top. That's why.\u201d
— Omri Ceren (@Omri Ceren) 1656887600

EnergyCynic, a popular social media account that focuses on energy, described Jean-Pierre's response as "doubling down on stupid."

"No idea what they are talking about and most people know it," the account said. "These people like to claim they are the 'smart' party."

Despite the Biden administration repeatedly blaming oil companies for record-high gas prices, economists at the Federal Reserve Bank of Dallas explained recently why oil companies are not responsible for gas prices.

"Since only 1 percent of service stations in the U.S. are owned by companies that also produce oil, U.S. oil producers are in no position to control retail gasoline prices," the economists said last month.

French president stops Biden, quickly bursts his plan to combat gas prices: 'Excuse me, sorry to interrupt'



French President Emmanuel Macron on Monday deflated President Joe Biden's plan to help combat record-high gas prices in the United States.

What is Biden's plan?

The media have reported widely that Biden planned to use a visit to the Middle East next month to petition oil-producing countries like Saudi Arabia to increase fossil fuel production.

Biden is scrambling to find a solution to the ongoing gas price crisis. Aside from asking other countries to step up production, Biden has demanded domestic energy producers increase their production, leading to criticism from climate change hawks. Oil companies, however, say they are already producing more oil than at any other point in their history.

What did Macron say?

Speaking with Biden on the sidelines of the G7 Summit, Macron was overheard telling Biden that two OPEC member nations — Saudi Arabia and the United Arab Emirates — are nearing max production capacity, thus deflating Biden's plan.

"Excuse me, sorry to interrupt. I had a call with MbZ," Macron said, referring to UAE leader Sheikh Mohammed bin Zayed al-Nahyan. "He told me two things. I'm at a maximum, maximum [production capacity]. This is what he claims.

"And then he said [the] Saudis can increase by 150 [thousands barrels per day]. Maybe a little bit more, but they don't have huge capacities before six months' time," the French president explained.

\u201cBiden was counting on Arab nations to produce more oil but a few hours ago French President Macron was overheard telling Biden that the United Arab Emirates is at max capacity & the Saudis can\u2019t produce much more. It appears to be a direct appeal to Biden to produce more oil.\u201d
— Michael Shellenberger (@Michael Shellenberger) 1656370425

The admission is significant because, as Reuters reported, "Saudi Arabia and the UAE have been perceived as the only two countries in [OPEC] with spare capacity to boost global deliveries that could reduce prices."

Anything else?

UAE Energy Minister Suhail bin Mohammed Al Mazrouei quickly confirmed the substance of Macron's disclosure.

"In light of recent media reports, I would like to clarify that the UAE is producing near to our maximum production capacity based on its current OPEC+ production baseline," the minister said.

\u201cIn light of recent media reports, I would like to clarify that the UAE is producing near to our maximum production capacity based on its current OPEC+ production baseline (3,168 mbopd) which UAE is committed by until the end of the agreement.\u201d
— \u0633\u0647\u064a\u0644 \u0627\u0644\u0645\u0632\u0631\u0648\u0639\u064a (@\u0633\u0647\u064a\u0644 \u0627\u0644\u0645\u0632\u0631\u0648\u0639\u064a) 1656356013

Whether or not Biden can depend on OPEC to help alleviate the gas price crisis, Samantha Gross, fellow and director of the Energy Security and Climate Initiative at the Brookings Institution, told The Hill any help will likely make little difference at the gas pump.

"I don’t believe there’s an amount of oil the Saudis could provide that would substantially reduce U.S. gas prices. It will be difficult for Biden to come away with something he can call a win," Gross said.

Macron tells Biden that UAE, Saudi can barely raise oil outputwww.youtube.com