Electric Boats

[Donsan]

I'll keep it simple. You said Exxon is receiving subsidies, what are they?

Oil depletion allowance.

 

[sunchaser]

Oil depletion allowance.

The Tax Reduction Act of 1975 eliminated statutory depletion allowance for oil and gas. Only independent oil and gas producers are allowed today to file for depletion. Integrated companies like Exxon, BP etc cannot. Tax incentives have spurred US oil and gas independents for a very long time with success allowing the US to become very close to the world's largest oil producer. For my tank and geo politically it is a win win.

But, I'm sure an oil and gas tax expert could weigh in on Exxon if any are around on TF. The current depletion allowance as I've used it applies to several commodities such as minerals (dozens) and timber and a few other depleting assets.

 

[BandB]

The Tax Reduction Act of 1975 eliminated statutory depletion allowance for oil and gas. Only independent oil and gas producers are allowed today to file for depletion. Integrated companies like Exxon, BP etc cannot. Tax incentives have spurred US oil and gas independents for a very long time with success allowing the US to become very close to the world's largest oil producer. For my tank and geo politically it is a win win.

But, I'm sure an oil and gas tax expert could weigh in on Exxon if any are around on TF. The current depletion allowance as I've used it applies to several commodities such as minerals (dozens) and timber and a few other depleting assets.

I'm not normally one to jump to the defense of the oil industry. However, some specifics on ExxonMobil. 2016 was not a good year for them with a return on capital employed of only 3.9% and reporting by GAAP shows no income tax charge for the year. However, the two years previous the effective income tax rate was 34% and 41% for a three year weighted average of 28%. Then look at total taxes and duties paid, including sales related taxes. Taxes and duties for the last three years have totaled $49 billion, $58 billion, and $83 billion.

As to talk about depletion allowances, they account for depreciation and depletion like any other business. It's a normal recovery of capital expended. They have $454 billion of assets and their depreciation and depletion in 2016 was $22.3 billion. That is a rate of just under 5%, meaning their average asset is being depreciated over a time period of 20 years. Compared to most businesses, that is a very slow rate of depreciation.

If one is going to pick a company to target and say they're not paying a reasonable share of taxes, this is not the one I'd suggest picking. Plenty of much better targets out there.

 

[Benthic2]

I cited a link to a NY Times article where I got the information regarding the subsidies.

Don't feel too bad for Exxon. They are the second most profitable...not largest...PROFITABLE company in the world. They made more money than anyone but Apple. Incidentally, the list I just saw had 3 oil companies in the top 10.

 

[Kain_Kelly]

Hydrogen powered from water electrolysis motorboat and yatch projekt. I think this is betetr future powered vs elektric

https://youtu.be/oRBCVlNRBJ4

More exaples:
https://technabob.com/blog/2011/12/14/mig-675-hydrogen-powered-boat/

https://yachtemoceans.com/hydrogen-motor-yacht/

And ocean going projekt wind, solar and hydrogen catamarin
The World?s First Hydrogen-Powered Boat - Vocativ


NBs(green)

Pre post link:
1kW to 5kW Fuel Cell Stacks

Hydrogen as a fuel sourced has alot of problems regarding safety, cost, and efficiency. The Nazis blew up several Uboats with hydrogen peroxide. Hydrogen lecks super super easily, in fact NASA use's hydrogen to test how air tight space suits are. Hydrogen can and will leak through holes to fine that even under the most powerful optical microscopes they are still not visible. At best from break down water to end output is at best 70% batteries are in the 90's of percent. Look at the link above, bare in mind you would need 80kw about to push a yacht unless you are going SLOW. Solar collection/compressed air storage are the best options in my opinion, or we can even do the simplest of all look at biofuels. Most of these boats are diesial no?

 

[BandB]

I cited a link to a NY Times article where I got the information regarding the subsidies.

Don't feel too bad for Exxon. They are the second most profitable...not largest...PROFITABLE company in the world. They made more money than anyone but Apple. Incidentally, the list I just saw had 3 oil companies in the top 10.

I don't feel sorry for them at all. However, 2016 they were nowhere near that level of profitability so I don't know what year you're looking at. (I think I found the numbers you were looking at, 2014). There's a lot of rhetoric around about large companies and much of it very untrue. I am appalled at what some companies do but when I hear or read something, I do check it out before trusting it.

 

[Benthic2]

Yes...2016 was a tough year for EOM...they "only" made 7.8 Billion dollars compared to the 16.2 Billion they made in 2015.

I am sure the CEO, Darren Woods was deeply affected by the decline, as his 2016 compensation was over $16 Million dollars.

I can just imagine the Woods family sitting around the fireplace trying to stay warm, eating baloney sandwhiches and ramon noodle soup.

 

[Ski in NC]

David, you are such an engineer!!!

Oh and regarding that open transom, it is really convenient to clean fish guts off the deck. Just back up hard and the sea floods over the deck. Jam it in fwd and the water goes back out, taking the fish guts with it.

Oh wait, it's a Hinckley. Nevermind.

 

[Bob Cofer]

This link is to an article about a Canadian company installing a fuel cell on a cruise ship.

https://www.maritime-executive.com/...-cell-on-high-end-newbuild?platform=hootsuite

 

[FF]

Much hype is in the Green BS.

A 60 meter charter tub with a solar panel will claim its partially solar powered .

RIGHT!

 

[McGillicuddy]

Yes...2016 was a tough year for EOM...they "only" made 7.8 Billion dollars compared to the 16.2 Billion they made in 2015.

I am sure the CEO, Darren Woods was deeply affected by the decline, as his 2016 compensation was over $16 Million dollars.

I can just imagine the Woods family sitting around the fireplace trying to stay warm, eating baloney sandwhiches and ramon noodle soup.

Well, it's a publicly traded company. If you like solid returns on an investment then EOM is a good pick. I don't make as much as the EOM CEO but I have held its stock for over 20 years and been paid a dividend every year and it's stock has continually increased in value. There are many like me who rely on the large companies to be well managed so I don't lose my retirement income. Exxon fits that bill.

 

[Benthic2]

I also own the stock and have been happy with its performance. I brought up EOM because the discussion was on subsidies and some had expressed a blanket opposition to them as beiing a waste. I had taken the position that they can be useful in "priming the pump" so to speak to get a company or an industry going, but thought that in EOM's case they weren't necessary as evidenced by their being so profitable. The shot at the CEO was a tongue in cheek reply to BandB pointing out they had a tough year.

 

[BandB]

The shot at the CEO was a tongue in cheek reply to BandB pointing out they had a tough year.

I didn't describe the year as tough, just down and not the kind of return they're use to.

And for the record, I strongly oppose the compensation plans of the CEO's and other executives of companies that size and tying so much to stock performance certainly encourages manipulation and short term decisions rather than long term.

 

[Pura Vida]

One for sale Solar Powered Sailboat (25' Cruiser) - $5800

https://nashville.craigslist.org/boa/d/solar-powered-sailboat-25/6345242158.html