Bill 320 Looks to Solve the Rising Gas Prices on Island

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Senator Clynt Ridgell introduced bill 320 as a solution to the rising gas prices on the island

PNC’s Damen Michael has this story

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Currently, gas prices are at a record-breaking $6.49 at the pump, while just six months ago, gasoline prices were set at $5.04, an increase of $1.44. This morning lawmakers held an emergency session on possibilities for reducing gas prices at the pump and arguing over why and how we should give oil and gas companies tax breaks, said Senator Ridgell. He questioned why should we be giving a tax break to one of the most profitable industries in the world. Tax breaks should be for new or smaller companies entering the markets, not those making record-breaking profits already.

With this senator, Clynt Ridgell introduced bill 320, also known as The Guahan Fuel Price Control Act of 2022, which would put a cap of 20% on the profits that big oil and gas companies can make on Guam.

According to a press release sent by Senator Ridgell, “there are multiple reports that provide evidence of record-breaking profits.”

According to the same press release Shell’s first-quarter profit for 2022 is approximately 9.1 billion dollars, ExxonMobil saw approximately 8.8 billion dollars in the first quarter of 2021, and ConnocoPhillips made approximately 4.3 billion in 2022’s first-quarter profits.

Regarding this data, Senator Clynt Ridgell stated, “these are profits we are talking about here, PROFITS, not total sales, not gross revenue but profits. Profits at the expense of the people.

In an interview with PNC, Senator Ridgell stated, “It’s obvious to me that all of these record-breaking profits of these oil and gasoline companies are making are because they are charging such high prices.”

This introduced legislation makes it where it shall be considered unlawful for any person or business to sell at wholesale or retail automotive fuel products for more than the landed price of a gallon plus up to an additional 20%. Included with the bill, the office of the attorney general will be tasked with overseeing and collecting data on the global oil and gas industry market. There is a fine of $1000 a day if these companies exceed the 20% cap, which will go into the territorial highway fund.

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Damen Michael A. Borja is PNC’s Interim Social Media Editor and a Broadcast Reporter. A young entrepreneur and a jack of all trades. Damen Michael graduated from the University of Guam with a Bachelors of Business Administration with a concentration in Marketing. He has dabbled in different fields of business including from sales, finance, marketing, administrative, and operations. Damen Michael has a passion for learning and always looks to educate himself on something new everyday. He began his journey in media in June of the year 2021 as a Broadcast Reporter covering predominately Education, Business, Lifestyle and more.