Skip to main content

Governor Signs Legislation to Better Protect Michigan Consumers from Gas Gouging

May 2, 2006

Says Petition Calling for Oil Profits Cap has 250,000 Signatures

LANSING – Governor Jennifer M. Granholm today signed legislation increasing penalties for any company that takes advantage of customers at gas stations in Michigan.  The act, which increases penalties for gas station owners who intentionally deliver less fuel to a customer than the pump indicates, is the latest in a series of steps the Governor has taken in recent weeks in her efforts to strengthen consumer protection.

“While the price of gas remains at near record levels and the federal government refuses to take action to cap oil company profits, we must do all we can at the state level to make sure consumers are treated fairly and are getting what they pay for,” said Granholm.

In the past nine months, the Michigan Department of Agriculture (MDA) has responded to the Governor’s call and nearly doubled the number of inspectors investigating complaints about fuel quality and quantity.  As a result, MDA has been able to respond to 100 percent of complaints.

In addition, Granholm has started an online petition to call on President Bush to cap excessive oil profits.  Just ten days after being launched, more than 250,000 people have already signed on.  Granholm said Governor Jim Doyle of Wisconsin also launched a petition yesterday and additional state efforts may be announced in coming days.

“More than a quarter million people are raising their voices together,” said Granholm.  “Paying $3.00 per gallon while oil companies enjoy $10 billion in tax breaks and rake in billions more in profits is just plain wrong.”

Granholm was joined at today’s bill signing ceremony by leaders from the Michigan Petroleum Association and Michigan Association of Convenience Stores (MPA/MACS) and the Associated Food and Petroleum Dealers (AFPD) who spoke out in support of the Governor’s efforts.

“Our businesses are committed members of their local communities who believe in providing an honest service for a fair price,” said Ed Weglarz, vice president for Petroleum, AFPD. “Those who cheat customers give all of us a bad name and should be prosecuted to the full extent of the law.”

Both the MPA/MACS and the AFPD have partnered with the Governor in recent days to promote that online petition and the Governor’s efforts to spur federal action.

“Governor Granholm understands that only the federal government can take action to truly protect consumers from high gas prices,” said Mark Griffin, president of MPA/MACS.  “We are pleased to join her efforts to make Michigan drivers voices heard in Washington.”

House Bill 4502 was sponsored by Representative Fran Amos (R-Waterford).

# # #