Chevron’s Chief Executive Officer Michael Wirth has sent President Joe Biden a letter with clear-as-day advice for what his administration should be doing to help pave the way for lower energy prices for the American people.
On June 15, President Joe Biden sent a letter to several major oil companies, demanding that the energy industry ramp up oil production and combat disruption to the market from Russia’s war in Ukraine by lowering prices for the American people. On Tuesday, Chevron’s CEO answered that demand with his own lengthy letter while saying the company hopes to have an “honest conversation” with the commander-in-chief.
Wirth’s letter noted that in 2021, “Chevron produced the highest volume of oil and gas in our 143-year history” and is currently investing $10 billion into green energy initiatives. Chevron then blasted the Biden administration for its anti-fossil fuel agenda.
“I want to be clear that Chevron shares your concerns over the higher prices that Americans are experiencing,” Wirth stated. “And I assure you that Chevron is doing its part to help address these challenges by increasing capital expenditures to $18 billion in 2022, more than 50% higher than last year.”
Throughout this spring, gas prices reached record highs across America. On Tuesday, the cost of the average gallon of gasoline in the U.S. was $4.968.
“Notwithstanding these efforts, your Administration has largely sought to criticize, and at times vilify, our industry,” Wirth remarked in his letter.
“These actions are not beneficial to meeting the challenges we face and are not what the American people deserve,” he added.
The energy executive explained that there is a simple strategy that Biden can enact to lower costs and provide certainty for the industry.
“We need clarity and consistency on policy matters ranging from leases and permits on federal lands, to the ability to permit and build critical infrastructure, to the proper role of regulation that considers both costs and benefits,” Wirth said. “Many of these elements are described in our industry’s recently released 10-point plan.”
On Thursday, The Daily Wire reported that Mike Sommers, President and CEO of the American Petroleum Institute (API), released a 10-point plan for Biden to follow to stop the historic fuel costs that have erupted under his administration.
Wirth also explained to Biden that a serious conversation — one that respects the energy industry — is needed to help lower costs.
“Most importantly, we need an honest dialogue on how to best balance energy, economic, and environmental objectives — one that recognizes our industry is vital sector of the U.S. economy and is essential to our national security,” he added.
On Monday, Biden told reporters that his “team” will meet with energy leaders this week and ask how they can explain their record profits.
Biden also emphasized his belief that Americans can use this energy crisis to transition to clean energy.
“My dear mother used to have an expression: out of everything lousy, something good will happen, if you look hard enough for it” he rambled to reporters gathered on the beach. “We have a chance to make a fundamental turn toward renewable energy, electric vehicles, and not just electric vehicles but across the board.”
Biden: "My mother had an expression: out of everything lousy, something good will happen. We have a chance to make a fundamental turn toward renewable energy, electric vehicles, and across the board." pic.twitter.com/Si4oJ7ROFg
— Greg Price (@greg_price11) June 20, 2022
Wirth clarified in his letter on Tuesday that Chevron representatives are willing to meet with members of the Biden administration to discuss how to lower prices.
“The American people rightly expect our country’s leaders and industry to address the challenges they are facing in a serious and resolute manner,” Wirth said. “We are a willing partner in that endeavor and trust your Administration will be the same.”