Congressional Democrats plan to unveil legislation Thursday to beef up the Federal Trade Commission’s authority to go after gasoline price manipulation, according to a person familiar with the matter, but its chances for passage hinge on getting so-far elusive Republican support in the Senate.
The legislation, backed by Senate Majority Leader Chuck Schumer and House Speaker Nancy Pelosi and other leading Democrats, would give the independent agency more authority and the ability to increase civil penalties, the person said.
The effort, which no Republicans have publicly endorsed yet, comes as Democrats seek to tame sky-high gasoline prices that could jeopardize their control of Congress in the November midterm elections. Senate Democrats would need the support of at least 10 Republicans to overcome a filibuster and push the legislation through the evenly divided chamber.
President Joe Biden has asked the Federal Trade Commission to investigate possible illegal conduct in U.S. gasoline markets before, but Republican members of the commission have asked for evidence to back up that claim.
“There is little evidence of price gouging or that such an effort would affect prices,” Benjamin Salisbury, director of research at Height Capital Markets, wrote in a research note Wednesday.
Democrats have few good options to quickly bring down prices at the pump. Biden’s efforts to tap the nation’s Strategic Petroleum Reserve, including a record 180 million-barrel release from the emergency oil supply, has so far had a muted effect. The national average cost for a gallon of regular unleaded was $4.141 as of Wednesday, according to data from auto club AAA.
Democrats have accused oil companies of exploiting the war in Ukraine and using a surge in crude oil prices to reap windfall profits and brought executives from Exxon Mobil Corp., BP America Inc. and other oil companies for a marathon congressional grilling.
Republicans, meanwhile, have used near-record prices to cast blame on Biden’s energy and climate policies while pushing for expanded fossil fuel production.
Source: Rigzone.com
