Posted on 05/05/2020 5:47:02 PM PDT by fluorescence
SACRAMENTO —
California sued two gasoline trading firms on Monday, alleging that they took advantage of market disruptions from a 2015 refinery explosion in Torrance by improperly driving up the price that motorists pay at the pump and gaining windfall profits.
[snip]
The attorney general alleges that Vitol Inc. and SK negotiated large contracts to supply gasoline and gasoline blending components, including one deal for more than 10 million gallons. He said he believes the alleged unfair competition practices and price manipulation by the two trading firms may have resulted in a more than 1-cent increase in the price of gas, a level that could generate $150 million in profits for the volumes cited in the case.
“Unfortunately for California consumers, Defendants Vitol and SK participated in a scheme to drive up and manipulate the spot market price for gasoline so that they could realize windfall profits on these large contracts to deliver gasoline and gasoline blending components,” said the lawsuit filed in San Francisco County Superior Court.
SK Energy Americas is a Houston-based American affiliate of an energy firm headquartered in Singapore, while Vitol Inc. is affiliated with a Dutch energy company. Representatives of the firms were not immediately available to comment on the lawsuit.
The lawsuit was filed as gas prices in California have been dropping because of low demand caused largely by the stay-at-home order that has closed many parts of the economy in response to the coronavirus outbreak.
California’s average price per gallon on Monday was $2.74, which is down from $3.48 on Feb. 24 but remains the second-highest price in the country after Hawaii, according to the American Automobile Assn. The national average gas price on Monday was $1.78 and has been inching up as more states reopen their economies, AAA said.
(Excerpt) Read more at latimes.com ...
California is the only state still importing Mid East oil because they refuse to build a pipeline to Texas.
Screw ‘em.
Cheapest oil on the planet (Middle East), and they still have ridiculously high prices at the pump.
It is called the State of California.
Calif has high gas taxes and it is now used mostly to pay the fat pensions.
It’s an annual spring rite here in California, suing big oil.
Really? Please name the last time that happened.
Democrat politicians always resort to suing oil companies every time they are losing their standing on some other liberal public political front. And they have always capitulated to the oil industry in the end. So they continue to abuse taxpayers to divert attention from their asinine policies.
Gas is like 2$. Now. It’s been 4$. Last five plus years
It’s SHOCKING to see actually. I LOVE IT !
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