Obama administration wants drilling royalties on federal lands to match offshore rates

In light of a recent Government Accountability Office finding that the current royalty rates for oil and gas produced on federal lands is “far lower than what other governments receive,” officials in the Obama administration have voiced their intention to increase the current rate from 12.5 percent to 18.75 percent, according to an article on FuelFix.com. This 50 percent hike would make the royalty rate for oil and gas drilling on federal lands equal to that paid by offshore drillers, the article said. For more read the full story here.