Low oil barrel prices have put a strain on Louisiana’s oil and gas industry. The COVID-19 crisis has contributed to the drop in oil prices, which is why Louisiana Senator John Kennedy says he asked the Department of Interior Secretary David Bernhardt that he temporarily suspends royalty payments paid to the U.S. government, by oil and gas producers.
“Oil and gas jobs remain a vital part of Louisiana’s economy, and factors outside workers’ control are jeopardizing those jobs. The simplest, smartest lifeline we can extend to the oil producers is pressing pause on the royalties the federal government charges them. Families and independent producers have worked long and hard to support America’s energy independence. They deserve a little flexibility in return,” said Kennedy.
Kennedy also says he also urged Saudi Arabia’s ambassador to the U.S, to end the disagreement with Russia that has helped send oil prices plummeting.It is unclear if either has replied to Senator Kennedy’s requests.He also praised the United States Department of Agriculture and Secretary of Agriculture, Sonny Perdue, for their efforts to streamline four million pounds of food to food banks in New Orleans.
“Louisiana residents have Secretary Perdue and his team to thank for filling up our food banks, especially in areas hit hardest by the coronavirus pandemic. As we tackle the economic challenges that come with the coronavirus, we have to work on multiple fronts to make sure Louisiana families have food on their tables. I’m grateful to have Sonny Perdue as an ally in this battle,” said Kennedy.
