Some Quotes From Senate Oil Hearing

By The Associated Press

Quotes from the Senate hearing Wednesday into high energy prices and record profits earned by oil companies:

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“There’s a growing suspicion that the oil companies are taking unfair advantage … to line their coffers with excess profits. … The oil companies owe the American people an explanation.” – Sen. Pete Domenici, R-N.M..

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“People are concerned about fairness and justice at a time of sacrifice. … Your sacrifice appears to be nothing.” – Sen. Barbara Boxer, D-Calif., to oil executives after citing multi-million-dollar bonuses.

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“Price gouging laws that have the effect of controlling prices likely will do consumers more harm than good. … In fact, price increases lower demand and help make the shortage shorter-lived than it otherwise would have been.” – Federal Trade Commission Chairman Deborah Platt Majoras, explaining her opposition to enactment of a federal price gouging law.

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“Petroleum earnings go up and down with the volatility in the openly and globally traded commodities in which we deal. … History teaches us that punitive measures hastily crafted in reception to short-term market manipulations, will likely have unintended negative consequences including creating disincentives for investment.” – Lee Raymond, chairman of ExxonMobil Corp.

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“We fear that people are mistaking the size of our earnings for a windfall, not realizing the enormous levels of investments required to achieve those earnings and bring new energy supplies to the market.” – James Mulva, chairman of ConocoPhillips.

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“We respectfully request that Congress do no harm by distorting markets or seeking punitive taxes on an industry working hard to respond to high prices and supply shortfalls” – John Hofmeiser, president Shell Oil Company.

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“We had to respond to the market,” – David O’Reilly, chairman of Chevron Corp. when Sen. Bill Nelson, D-Fla., asked why the oil companies did not freeze gasoline prices after Hurricane Katrina as they did briefly after the Sept. 1, 2001, terrorist attacks.