
Regulation Issues | |
Scapegoating High Gasoline Prices |
In a panic, the Environmental Protection Agency is looking everywhere but in its own backyard for the reason gasoline prices have jumped dramatically, say critics. It is not a coincidence, they say, that new EPA requirements for cleaner-burning gasoline took effect on June 1 and that gas prices increased across the country in the past few weeks, with the highest price spikes occurring in the Midwest.
Refiners have to rely on ethanol to make their gasoline comply with the federal regulations. But ethanol evaporates quickly, which makes production more difficult. Meanwhile, EPA officials put the blame on oil companies, saying they have offered "no good explanations" for the price spikes. The agency then hints at price gouging and collusion. Sources: Editorial, "High Gas Prices? Blame EPA," Investor's Business Daily; and Pam Belluck, "In Gas Prices, Misery and Mystery," New York Times; both articles on June 14, 2000. For more on Gasoline and Automobility http://www.ncpa.org/pd/regulat/reg-2.html |
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