Klobuchar and Grassley Letter asks for Investigation of Big Oil

Sen. Amy Klobuchar

Senators Amy Klobuchar (D-Minn.) and Chuck Grassley (R-Iowa) sent a letter this week asking the Justice Department and Federal Trade Commission (FTC) to investigate possible anti-competitive practices by oil companies that may be limiting consumer access to renewable fuels like ethanol.

“By forcing a franchisee to carry premium gasoline as a condition of carrying regular gas, the oil company may be using its economic power over its franchisee to effect a tying arrangement in violation of the Sherman Act,” the two senators wrote in the letter to Attorney General Eric Holder and FTC Chairwoman Edit Ramirez . “This conduct may also violate the Gasohol Competition Act of 1980, which prohibits discrimination or unreasonable limits against the sale of gasohol or other synthetic motor fuels.”

You can view a signed copy of the letter here.

The Minnesota Corn Growers Association thanks Senator Klobuchar and Senator Grassley for working together in a bi-partisan manner to increase fairness and competition in the transportation fuels marketplace. American consumers deserve a choice at the pump and to know more about possible actions by the oil industry to impede renewable fuels like ethanol from fairly entering and competing in the open market.

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