[Congressional Record (Bound Edition), Volume 151 (2005), Part 17]
[Extensions of Remarks]
[Pages 23435-23436]
[From the U.S. Government Publishing Office, www.gpo.gov]




        INTRODUCTION OF THE ENERGY PRICE DISCIPLINE ACT OF 2005

                                 ______
                                 

                         HON. FRANK A. LoBIONDO

                             of new jersey

                    in the house of representatives

                       Thursday, October 20, 2005

  Mr. LoBIONDO. Mr. Speaker, I rise today in support of the ``Energy 
Price Discipline Act of 2005.'' This timely and important piece of 
legislation will ensure that the Federal Trade Commission (FTC) has the 
tools to investigate and strongly prosecute price gouging across the 
nation by those refining, selling, or shipping crude oil, gasoline, 
diesel fuel, natural gas, or petroleum distillates.
  Today, Americans are paying more than ever before for the fuel they 
need to run their cars and heat their homes. Even before the 
devastation of Hurricane Katrina, consumers were paying almost a dollar 
more than they were a year ago for a gallon of gas. And in the days 
following this disaster, average gas price rose an additional 45 cents 
per gallon--with reported prices of nearly $6.00 at some stations in 
the affected areas.
  And, as the days get shorter and the air gets colder, more and more 
people are worrying about how they are going to be able to heat their 
homes this winter. According to figures released last week by the U.S. 
Energy Information Administration, households heating their homes with 
natural gas can expect to spend about 48 percent more, or an additional 
$350, on fuel this winter. Those with heating oil can expect a 32 
percent increase, or on average about $378 more.
  But as Americans look deeper into their wallets to put gas in their 
cars to get to work or to heat their homes, both oil companies and U.S. 
refineries are on track for record profits. I believe that consumers 
across the country should have the right to know that the prices they 
are struggling to pay are legitimate and that no one is profiting 
unjustly at their expense.
  For this reason, I am introducing the ``Energy Price Discipline Act 
of 2005.'' This bill will give the FTC broad discretion to investigate 
and, if necessary, strongly prosecute whoever--whether it is a gas 
station owner, a petroleum company, or a refiner--is guilty of 
manipulating the price of crude oil, gasoline, diesel fuel, natural 
gas, or petroleum distillates.
  The ``Energy Price Discipline Act of 2005'' recognizes that in 
today's global economy consumers in states far removed from a tragedy 
like Hurricane Katrina may see the results of it in their energy 
prices--often for legitimate reasons, but sadly also as a result of 
price gouging. In my home State of New Jersey, residents voiced 
concerns over fair and honest treatment when purchasing gasoline for 
weeks before a federal emergency declaration was declared and state 
price gouging statutes were triggered.
  For these reasons, the bill does not require a federal emergency 
declaration to be issued before the FTC could begin an investigation. 
Instead, the bill sets out specific factors for the FTC to use to 
determine whether the commodity is being sold at an unjust or 
unreasonable price. If the FTC makes the determination that price 
gouging exists, the bill ensures that

[[Page 23436]]

the violator, whether an individual or a corporation, is subject to 
strong civil and criminal penalties.
  Americans in every corner of the country are today being faced with 
unprecedented energy costs. We owe it to our constituents to ensure 
that no one is profiting unjustly at their expense. I urge my 
colleagues to speak for them and to support the ``Energy Price 
Discipline Act of 2005.''

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