Here’s your morning jolt of news, insight and analysis on the global energy business.
Send us tips, suggestions and complaints: EnergyJournal@wsj.com
Sign up for this newsletter: http://on.wsj.com/EnergyJournalSignup
SOUTH CAROLINA LEGISLATORS APPROVE GAS-TAX HIKE
Lawmakers in South Carolina have proposed an increase in the state’s gasoline tax for the first time in 30 years, writes Valerie Bauerlein.
State governments are trying to use the oil-price slump — and ensuing low gasoline prices — as an opportunity to raise gas taxes.
“The South Carolina House voted Tuesday to approve a legislative compromise plan that would raise the state’s 16.75-cent gasoline tax by 12 cents over 6 years,” the Journal reports.
The move to raise the gasoline duties comes after Tennessee and other GOP-led states took similar measures to raise taxes in order to fund the maintenance of roads and infrastructure.
A recent slump in gasoline prices has provided an opportunity for states to raise the tax without inflicting too much pain on consumers.
The average cost of gallon of gasoline is $2.48, including taxes, down from more than $4 a gallon in mid 2008, says the U.S. Energy Information Administration.
The gasoline tax increase was opposed by many conservatives, including Americans for Prosperity, a free-market political-advocacy.
The tax hike may not pass as Republican Gov. Henry McMaster, who took over in January after Nikki Haley was named the U.S. ambassador to the United Nations, has pledged to veto the bill.
PRESSURE MOUNTS ON FORD CHIEF
Ford Motor Co.’s directors are pressing Chief Executive Mark Fields to sharpen his strategy as the company races to catch up on electric cars and reverse its shrinking market share in the U.S., write Christina Rogers and Joann S. Lublin.
Ahead of the annual shareholders meeting on Thursday in Dearborn, Mich., company directors scheduled an additional day of talks to address growing uncertainty about the auto maker’s course.
“Ford has been solidly profitable since Mr. Fields became CEO in July 2014, but its stock price has fallen by about a third in that period,” the Journal reports.
Mr. Fields is pushing for a new strategy to face new emerging technologies such as electric cars that are reshaping the industry.
Electric car manufacturer Tesla is valued at $52.4 billion, or 18% higher than Ford, despite the Silicon Valley car company’s financial losses.
SAMSON RESOURCES PUTS ASSETS UP FOR SALE
Samson Resources Corp. has begun marketing its oil-and-gas assets, following its emergence from bankruptcy protection, writes Lillian Rizzo for Dow Jones Newswires.
The company, a victim of the oil prices slump in recent years, aims to sell its assets as part of its approved late 2015 bankruptcy reorganization plan.
The units for sale are located in North Louisiana, Shelby Trough, East Texas Haynesville and Gregg-Rusk-Nacogdoches.
Samson’s asset sales have brought in more than $600 million. The funds have been used to pay off debts.
MARKETS
Oil prices edged up on Wednesday after an industry group said U.S. crude supplies fell by nearly 6 million barrels last week.
The American Petroleum Institute, however, brought mixed news, estimating that gasoline stockpiles increased again, adding to inventory levels that are already high for this time of the year.
The EIA will release official data on U.S. oil stocks and production later Wednesday.
Brent crude, the global oil benchmark, rose 0.84% to $49.14 a barrel on London’s ICE Futures exchange. On the New York Mercantile Exchange, West Texas Intermediate futures were trading up 0.98% at $46.33 a barrel.
Read our latest market report at wsj.com
May 10, 2017 at 04:45PM
from Neanda Salvaterra
No comments:
Post a Comment