Why are electric and gas bills going up, but oil companies making record profits?

Question

I thought the reason they were increased is so we could get the same power with reduced supply?

However a fair few power companies are reaching ridiculously high record profits, which goes against the grain of that idea.

In: 16

Answer 1

There “record profits” claim is a myth. What they don’t tell you is that there is also record corporate debt. That is because interest rates have been basically zero for over 10 years. So rather than take profits and pay down expenses, they pay those with debt. So the “profit” is not real.

PPI has been higher than CPI, so businesses really have been eating more of this inflation than consumers. They aren’t “evil” or “extra greedy” or any of that nonsense. The people who have been propagandizing falsehoods are.