“SLAP IN THE FACE”
BP said the result would allow it to accelerate “the greening” of the company.
But the performances at the companies triggered calls for a windfall tax on the profits of energy firms in the UK.
“These profits are a slap in the face to the millions of people dreading their next energy bill,” Greenpeace UK’s head of climate Kate Blagojevic said in a statement.
“BP and Shell are raking in billions from the gas price crisis while enjoying one of the most favourable tax regimes in the world for offshore drillers,” she said.
“And these are the same companies responsible for pushing our world closer to catastrophic climate change.”
Seeking to head off a political storm, the government of Prime Minister Boris Johnson announced last week a package of financial support after the state energy regulator lifted prices.
The opposition Labour Party said it was not enough.
Finance minister Rishi Sunak’s “energy plans last week left families more worried than ever,” tweeted Labour shadow minister Rachel Reeves after the oil companies published their results.
“It’s time for Labour’s plan for a one-off windfall tax on oil & gas producers to cut bills.”
Sunak rejected the tax idea.
MORE PROFITS
With a presidential election looming in France in April, Green candidate Yannick Jadot spoke out against profits made “on the back of French men and women” while “gas and petrol bills rise for the benefit of shareholders”.
TotalEnergies CEO Patrick Pouyanne said that if the company paid more to governments, “it would be at the expense of investments, workers or shareholders”.
But in apparent move to fend off criticism, TotalEnergies announced this week a discount at the pump in rural areas of France along with a €100 (US$113) voucher for people struggling to pay their gas bills.
Oil majors, however, could be in for another banner year for their bottom lines as analysts forecast prices climbing to US$100 per barrel.
“The health crisis appears to be ending, the economic recoveries in China, the United States and Europe don’t appear to be flagging, supply continues to be limited due to a lack of oil investments in the past two years and environmental pressure,” Ajmi said.
“So, yes, the profit rebound of the oil majors could continue in 2022.”
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