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WYDEN PRESSES FOR LOWER GAS
PRICES AT HEARING FOR FEDERAL TRADE NOMINEE
Senator says he’ll continue to block
nomination of Majoras as FTC chair until plan of action to help
consumers is made clear, recusal issues are clarified
June 2, 2004
Washington, DC – U.S.
Senator Ron Wyden (D-Ore.) today indicated that he will continue
to block the nomination of Deborah Majoras to head the Federal
Trade Commission (FTC), after Majoras failed to offer concrete
commitments at her confirmation hearing as to how she would lead
the agency to fight high gasoline prices. Wyden has long called
on the FTC to stop oil company mergers, refinery closures and
anti-competitive gasoline marketing practices that have been proven
to drive prices up for American consumers, particularly in the
Pacific Northwest. He announced a “hold” on Majoras’
nomination in May when the nominee gave no indication that the
FTC’s years of inaction on high gasoline prices would end
under her leadership. Majoras has also been unable to answer whether
her previous dealings with the oil companies Chevron and Texaco
in the private sector would force her to recuse herself from oil
pricing issues as FTC chair, essentially leaving the Commission
without leadership as those issues are considered.
“I wanted to hear from
Ms. Majoras at today’s hearing whether anything would change
if she’s confirmed to head the FTC or if it’s just
going to be inaction as usual while consumers are gouged at the
gas pump,” said Wyden. “She still can’t tell
me how she’ll get this agency off the sidelines and in the
fight to protect American consumers or even whether she can participate,
and I am determined to force a change from the top down in the
way this agency deals with high gasoline prices.”
At the hearing, Wyden asked
Majoras again what she would change at the FTC to better respond
to high gasoline prices; how the agency would respond to a new
General Accounting Office report showing that oil company mergers
allowed by the FTC have contributed to gasoline price increases;
whether the FTC should act to stop the shutdown of the 70,000
barrel-per-day Shell refinery at Bakersfield, Calif.; and whether
she would request new powers for the FTC to fight oligopoly control
of major gasoline markets by just a few oil companies. In every
case, Majoras said she would be willing to act but would not outline
specific steps, which is precisely the FTC response that has led
to little or no pro-consumer action on gasoline prices in recent
years.
Before a face-to-face meeting
with Majoras last month, Wyden submitted a letter detailing his
concerns about the FTC’s inaction on oil and gasoline issues
and asking whether Majoras would lead the agency to respond. During
their meeting, Wyden also received no assurances from Majoras
that the agency would change its policy of inaction to protect
consumers.
“Whenever Ms. Majoras
is ready to tell me how she will stand up for my constituents
and all Americans to fight these outrageous gasoline prices, my
door is open,” said Wyden. “But I need to hear more
convincing evidence that she will change the FTC’s policy
to start bringing these prices down.”
As a matter of policy, Wyden
publicly announces any “hold” he places on nominees
or legislation. Wyden has led efforts to end the practice of “secret
holds” in the U.S. Senate. He placed a statement in the
Congressional Record on May 19 indicating his intention to hold
the Majoras nomination.
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