WASHINGTON – Congressman Bart Stupak (D-MI) today wrote the Speaker of the U.S. House of Representatives, Dennis Hastert (R-IL), urging the Speaker to allow the House to consider legislation that would address price gouging by major oil companies.

“Crude oil prices have exceeded the previous record set after Hurricane Katrina hit the Gulf Coast, reaching over $70 a barrel on the New York Mercantile Exchange,” Stupak wrote.  “As prices climb, the potential for price gouging increases.”

Stupak’s bill, the Federal Response to Energy Emergencies Act (H.R. 3936), would provide the Federal Trade Commission with the explicit authority to investigate and punish those who artificially inflate the price of energy.  For the first time ever, the FTC would be required to develop a price gouging definition, taking into account consumer-friendly guidelines set forth in the bill. 

“The problem is the federal government has never accurately defined what price gouging is and has never given the Federal Trade Commission and the State Attorneys General the tools necessary to properly prosecute price gouging,” Stupak wrote.

Stupak’s letter comes on the heels of comments made by President Bush on Tuesday, indicating the President supports efforts to address price gouging.  “… [t]he government has the responsibility to make sure that we watch very carefully, and to investigate possible price gouging," Bush was quoted as saying at the White House. 

“The President owes consumers more than just lip service,” Stupak said.  “If the Administration and House Republicans truly oppose price gouging, they should stop blocking my legislation and allow us a vote.  With reported four dollars per gallon being charged in some parts of the nation, motorists are being gouged.”

In his letter, Stupak noted that House Members are pursuing a “discharge petition,” a rare parliamentary move that would force the House Republican Leadership to bring the legislation to the House floor for a vote.  “Over 100 of my fellow members have already signed Discharge Petition No. 109-7, requesting that H.R. 3936 be given floor consideration,” Stupak wrote.  “More Members of Congress are adding their name to this cause each week.”

Stupak has made several requests to House Energy and Commerce Committee Chairman Joe Barton (R-TX) and Oversight and Investigations Subcommittee Chairman Ed Whitfield (R-KY) to hold hearings on price gouging, but both chairmen have refused to investigate the issue. Stupak serves as the top Democrat on the Oversight and Investigations Subcommittee. 
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"Republicans control the House, the Senate and the Presidency. They have shielded their friends in the oil and gas industries from any possible investigation into price gouging,” Stupak said.  “Consumers are demanding that the Republicans quit protecting their oil company executive friends and allow for investigations. People deserve to know whether these prices are due to gouging, failed foreign policy in places like Iraq and Iran, or a shortage in supply."

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