The worth Of Gasoline And The Patently Absurd Software Of Our Sovereign Immunity Law
The title of the article in Friday’s Wall Road Journal — “Drivers Really feel Pinch of Climbing Fuel Prices” — says all of it. Yet now we have an anomaly in our courts, irresponsibly supported by the govt and legislative branches of our government, in the way that our courts interpret Sovereign Immunity and, in turn, its impression on our each Interactive Turbulent Tubular Reactor day lives. Technically speaking, Sovereign Immunity is a legal doctrine by which the sovereign state can not commit a legal incorrect and is therefore immune from civil suit or authorized prosecution. Yet right here it has been extended by our courts, with the backing of our govt branch and the acquiescence of our legislative department, to giving certain nationwide commercial entities a free cross overriding our laws reminiscent of those regarding anti-belief and commercial collusion.
Quite extremely sovereign immunity has for years been prolonged to the machinations of OPEC cartel members and their very important business pursuits in the United States. Just last Might a turning valve ceremony happened at Port Arthur, Texas, bringing on stream the enlargement of the Motiva Refinery, now the most important refinery in the United States owned and operated jointly by Saudi Aramco (Saudi Arabia’s nationwide oil company) and Shell (a lot in the manner of the Aramco-Shell “SASREF” refinery working at the very coronary heart of Saudi Arabia’s petrochemical industry, Jubail Industrial City).
However OPEC’s tentacles lengthen further into U.S. gasoline and petroleum product production and their markets. Here we’ve got happily gouging American consumers via the OPEC-manipulated price of oil, the vast presence of Petroleos de Venezuela’s (PDVSA, Venezuela’s nationally owned oil company) with refineries and facilities in Houston and Corpus Christie Texas; Lamont, Ill.; Paulsboro, N.J.; Lake Charles and Chalmette in Louisiana; Savannah, Ga. and St. Croix within the Virgin Islands refining and advertising and marketing gasoline, jet gas, diesel, petrochemicals, lubricants, asphalt. All along with a capacity of greater than a million barrels per day — this whereas proudly owning and operating more than thirteen,000 gas stations all through the U.S. and Puerto Rico.
Here we have now two main players within the U.S. natural gas prices georgia 2017 gasoline market whose guardian company’s goal will not be to provide competitively priced gasoline and petroleum products to service the U.S. market and its pinched customers, but relatively to keep the worth of oil high and have the quoted price of WTI (West Texas Intermediate — the U.S. benchmark on the commodity exchanges) quoted at ranges approaching natural gas prices georgia 2017 those of Brent Crude (the extra international and considerably increased benchmark value quoted on the London Alternate).
Being tied to the OPEC Cartel, their objectives can readily be alleged to be at clear variance with these of a stand alone refinery needing to supply its crude oil in the market. The stand alone refinery would do its utmost to acquire the least expensive supply of crude and do all it may to reduce the worth of oil in its procurement policies thereby servicing the gasoline market at probably the most competitive price attainable. Not so with the OPEC Frankensteins given their cozy and open entry to our markets whose goals could possibly be fairly construed to push up the value of the core enter of the refining industry, crude oil.
Would the integrated U.S.-based producers of crude oil and refined petroleum products resembling ExxonMobil, Chevron, and so forth. collude as to the output and pricing of their crude oil manufacturing they can be behind bars lengthy since. A close Justice Division look at the machinations of crude oil procurement of Motiva and Citgo may yield some significant and oil market shifting/gasoline pricing results.
Astonishingly, our government, most especially the govt branch, has been a staunch defender of the court docket’s interpretation of sovereign immunity as it applies to the distortions vested on the American shopper by OPEC nationwide oil corporations. In the case of Spectrum Stores Inc. v Citgo Petroleum Company (case no. 09-20084 -C.A. 5. Feb. 8, 2011), alleging that Citgo, as an oil production firm in its affiliation with the OPEC member PDVSA, was in violation of the Sherman natural gas prices georgia 2017 Act and Clayton antitrust act, the courtroom dominated for Citgo citing the following rationale:
“Because the political query doctrine is jurisdictional, we handle it first. After we accomplish that, we discern that the complaints earlier than us effectively challenge the construction of OPEC and its relation to the worldwide production of petroleum. Satisfied that these issues deeply implicate considerations of foreign and protection coverage, considerations that constitutionally belong within the executive and legislative departments, we conclude that we lack jurisdiction to adjudicate the claims. We hold alternatively that the complaints search a remedy that’s barred by the act of state doctrine, that’s, an order and judgment that will interfere with sovereign nations’ control over their very own natural assets. Accordingly, we affirm the judgment dismissing the complaints.”
Astoundingly, in total disregard of the monetary and financial damage that the OPEC-associated oil companies are inflicting on both nationwide and international economies our executive department had gone full bore in siding with the courts resolution by having the Justice Department, the Commerce Division, the Division of Energy, State Division submit amicus briefs in help of the Appellees (Citgo et. al.) and in affirmation of the judgment.
The legislative branch of our authorities has been extra proactive on this difficulty (please see (“NOPEC ‘No Oil Producing and Exporting Cartels Act’: A Presidential Challenge and Take a look at of Political Integrity” 09.10.12) from which the following is taken:
“But some years ago, in 2007, there was a genuine effort to change the equation in a fundamental method when Congress voted overwhelmingly, in defiance of the oil lobby and their allied pursuits for the NOPEC invoice, so named because it might enable the international oil cartel, OPEC, and its national oil firms working outdoors the law, hiding behind our sovereign immunity shield, to be sued and held accountable for what are clearly anti-competitive makes an attempt to limit the world’s supply of petroleum and the consequent impact on oil prices.
In defiance of oil interests Congress voted overwhelmingly for the Bill (70 votes to 23 in the Senate and 345 to seventy two in the House). This was an act of refreshing and courageous management by our Congress only to be abandoned after President George W. Bush, that nice stalwart of oil pursuits and friend of Saudi Arabia, made it clear that he would veto the bill should it land on his desk.”
Regretfully the Obama administration has achieved little on this subject as pointed out within the weblog submit above, apart from have its businesses file amicus briefs in help of our courts present interpretation of Sovereign Immunity whereas American customers struggle with gasoline prices which have risen by 50 cents up to now month alone.
It is unimaginable that presently and underneath these circumstances we are giving a free go to members of the OPEC coven, one thing we denied to John D. Rockefeller and his Commonplace Oil. At that time the reining in of the standard Oil monopoly was an act of nationwide policy that was key to creating a freely aggressive marketplace that was essential to America’s rising industrial ascendancy.