Good morning, here's what the Oilman has for you today:

• California Wants Big Oil’s Profits

• EU Elections May Slow Down Transition Push

• Tweet of the Day

California Wants Big Oil’s Profits

California has gotten desperate for fresh money as it struggles with a massive budget hole.

Where better to get some than Big Oil?

So, the state is going after the profits of supermajors.

It is claiming unjust enrichment and profiting from illegal conduct.

The most convenient scapegoat

Big Oil has become California’s favorite punching bag.

Whatever happens, it’s Big Oil’s fault.

But they’ve found it hard to punish Big Oil enough for its alleged wrongdoings.

And they’ve found it even harder to manage their finances.

Which has resulted in a massive budget hole of $45 billion.

But it’s all good because California recently passed a new law.

It allows the state to take profits away from companies found to have breached consumer protection and advertising laws.

The law sounds like it was tailored specifically for Big Oil.

But it’s probably just a coincidence.

Anyway, California’s GA has invoked that law and is eyeing billions in profits.

Big Oil, the cash cow of failed governments

The official allegation is “false advertising and misleading environmental marketing by some of the defendants.”

It’s been slapped on an existing lawsuit against Exxon, Chevron, BP, Shell, and Conoco.

The original suit alleges broad misinformation on the part of those five.

The outcome is as of yet unclear.

Yet the idea to target Big Oil’s profits directly may be taken up by other litigious climate activists.

It’s so neat, after all. Call them criminals and take their money.

If the court rules in favor, that is.

EU Elections May Slow Down Transition Push

The latest elections in the EU, for the European Parliament, may interfere with energy plans.

At the elections, people voted for more right-wing MPs.

So now, the leftist greens will have greater opposition.

All in all, good news

The current EU leadership was quite scared ahead of the elections.

Forecasters warned of a “far-right wave” rising across the bloc.

And the big reason for that wave was energy policies.

More specifically, energy transition policies.

These policies raised energy bills and angered many.

In France, this anger prompted the dissolution of parliament.

In Belgium, the government resigned after its dismal election result.

These countries voted right in more than one sense.

Others, however, were more reluctant to usher in change.

The pro-transition lobby will remain in power after the elections.

But this power will be smaller.

So, it will be harder to push through transition plans.

No rollbacks, new policies under threat

“I don't think that we'll be rolling back on (climate) policies.”

“But I do think that it will be more complicated to get new policies off the ground.”

That’s according to the head of the Greens in the EP.

But he may be over-optimistic.

Because there is already talk that the gas-powered car ban was a mistake.

And that talk started months before the election.

The big question is: what do EU leaders want more?

Do they want to stay in power, or do they want to have a transition?

Even if that transition costs them this power.

Tweet of the Day

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