Gasoline price gouging shouldn't be tolerated
www.pantagraph.com Pantagraph Editorial Tuesday, February 18, 2003
What have we learned since the price gouging in which some service stations engaged following the terrorist attacks of Sept. 11, 2001?
Gas prices have been rising rapidly in the past month, supposedly because of labor unrest in Venezuela and fear of another Persian Gulf War.
But the Venezuelan oil workers are back on the job.
And if "fear" of war is enough to increase prices, what is going to happen if the real thing hits?
Will we again see stations hiking their prices to nearly $4 a gallon, as happened after the 9-11 attacks?
Or did actions taken by then Attorney General Jim Ryan against the most flagrant price-gougers send a message?
In fall 2001, Ryan filed or threatened to file lawsuits against a number of companies that raised prices in the aftermath of the 9-11 attacks.
Casey's General Store Inc. settled the case against it by -- among other things -- giving $25,000 to the American Red Cross, but admitting no wrongdoing. Other individual stations gave $1,000 to disaster relief efforts to avoid a suit.
A timely reminder is needed from the state's new attorney general, Lisa Madigan, on how she will react to gasoline retailers who engage in profiteering.
The Legislature should clarify the state's consumer fraud law to specifically outlaw gasoline price gouging. High fuel prices don't just affect casual motorists. They also have an tremendous economic impact by increasing transportation costs for goods.
A spokesman for AAA, the nation's largest auto club, called recent price hikes "uncomfortably close" to gouging. We agree.
Average prices at the pump in Illinois have risen 16 cents since January. Bloomington-Normal motorists have seen prices jump that much -- and more -- overnight from time to time, with a slow drop down.
But this time, it doesn't look like prices are going to drop much for the foreseeable future.
The oil industry should exercise restraint in raising prices.
But, if gouging occurs, state and federal officials should not exercise restraint. They should aggressively go after the profiteers.