All the federal agency that oversees oil trading, the Commodity Futures Trading Commission has to do is require that the buyer have the ability to take delivery of said oil. In other words, if you buy say 25000 or 50000 barrels of crude you must show the CFTC that you in fact have the storage tank capacity to take delivery. If not no sale. That will get the speculators out of this market and maybe some hedge funds also.
Great! Remove all liquidity from these markets. That'll fix things. Not.