API launches new campaign against punitive taxes on the industry
WASHINGTON, November 7, 2011-API President and CEO Jack Gerard today announced a new advertising campaign to encourage lawmakers on the Joint Select Committee on Deficit Reduction to continue to focus on job creation and revenues to the government through economic growth rather than punitive tax increases.
"We want to take every opportunity to reinforce that the oil and natural gas industry represents a big part of the solution to the issues the Super Committee is addressing," said Gerard. "We're one of the few industries that has created jobs throughout the recession, generates about $86 million per day in federal revenue and could do much more of both with the right policies."
In 2010, oil and natural gas companies directly contributed more than $470 billion to the U.S. economy in spending, wages and dividends - or more than half the size of the 2009 federal stimulus package. Gerard said that this industry provided stimulus "happens every year without an Act of Congress and at no cost to taxpayers. Again, the kinds of activity our government should be encouraging.
"Unfortunately, we continue to hear suggestions from some in Congress and elsewhere that our industry should be singled out for tax increases. This makes no sense.
"Raising taxes only on oil and natural gas companies is not a serious strategy to deal with deficits or a slow economy. In fact, over the longer term, higher taxes would actually mean less revenue to the government because development and production would be reduced, which would reduce taxable income and royalties while increasing our reliance on imported energy.
"We have been delivering these messages all year through a comprehensive advocacy and communications campaign. As a next step we'll begin running a new ad campaign, starting tomorrow, that recognizes some of the Super Committee members who have opposed efforts to raise energy taxes."
The new advertisements will begin running on November 8 and are available online.
"We're ready to do our part," said Gerard. "When Congress is prepared to address comprehensive tax reform, our member companies are prepared to be constructive partners in finding solutions that will treat all businesses fairly while providing opportunity to remain competitive."
API represents more than 480 oil and natural gas companies, leaders of a technology-driven industry that supplies most of America's energy, supports 9.2 million U.S. jobs and 7.7 percent of the U.S. economy, delivers more than $86 million a day in revenue to our government, and, since 2000, has invested more than $2 trillion in U.S. capital projects to advance all forms of energy, including alternatives.
Remarks by Jack Gerard (as prepared for delivery)
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