Federal Regulators Probe for ‘Collusive’ Practices Impacting Gas Prices
Federal antitrust regulators will look into whether there are any “collusive” or otherwise illegal practices impacting gas prices following a request from the White House.
Federal Trade Commission (FTC) Chairwoman Lina Khan said in a letter to Brian Deese, who directs the National Economic Council, that she’ll direct staff to take actions on mergers and franchising.
Specifically, Khan said in the letter, which was obtained by The Hill, that she’ll ask staff to investigate “abuses” in the franchise market.
“Many retail fuel stations are franchised, but most franchisees have no control over prices at the pump. We will need to determine whether the power imbalance favoring large national chains allows them to force their franchisees to sell gasoline at higher prices, benefitting the chain at the expense of the franchisee’s convenience store operations,“ Khan said.
