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Proposed California bill seeks oil refiners profit disclosures

Posted at 7:29 AM, Jun 29, 2022
and last updated 2022-06-29 10:29:58-04

(KERO) — Gas prices in California are starting to go down but still remain the highest in the nation and state lawmakers plan to find out why.

State Senator Ben Allen is teaming up with a group called Consumer Watchdog to investigate the oil industry’s business practices and its record profits by pushing legislation that would require refining companies to disclose profit margins monthly.

“Unfortunately the evidence we have from the information that’s out there on the per gallon profits are that we are getting ripped off in the extreme," said Jamie Court, president of Consumer Watchdog.

Five oil refiners control 96% of California’s gas.

The state's refiners reap high profits here: 30 to 40 cents more per gallon, according to Senator Allen's office.

“Refiners and energy producers are under a lot of requirements from the California Energy Commission for example to report a number of issues related to supply and cost and factors we believe this bill is a solution looking for a problem,” said Kevin Slagle with the Western States Petroleum Association. The group represents petroleum producers and refiners.

At the pump, customers are still facing high prices and some support this bill.