Federal officials urge states to examine whether pump prices reflect declining crude oil costs
OKLAHOMA CITY — The Trump administration is asking Oklahoma Attorney General Gentner Drummond and attorneys general across the country to investigate whether gasoline retailers are unlawfully keeping pump prices high despite declining crude oil prices.
The request comes in a joint letter from the U.S. Department of Justice and the Federal Trade Commission after President Donald Trump alleged that some oil companies are failing to pass lower crude oil costs on to consumers.
In a Truth Social post last month, Trump said gasoline prices should be falling more quickly because crude oil prices have dropped sharply. He directed the Justice Department to investigate what he characterized as potential price gouging and anticompetitive conduct by large oil companies.
The letter sent to state attorneys general urges them to use state antitrust and consumer protection laws to investigate whether companies are unlawfully manipulating retail gasoline prices.
“Recent volatility in crude oil prices does not suspend either the antitrust laws or state consumer protection laws,” Associate Attorney General Stanley E. Woodward Jr. and Federal Trade Commission Chairman Andrew N. Ferguson wrote. The officials said businesses may not use market volatility as cover for collusion, fraud or other unlawful conduct that harms consumers.
The letter also warns that companies found to have violated federal law could face civil investigations, lawsuits or criminal prosecution.
The federal request does not identify any Oklahoma company or retailer, nor does it allege that any Oklahoma business has violated state or federal law. As of Sunday, it was unclear whether Drummond’s office had opened or planned to open an investigation.
According to the latest AAA figures cited in the federal request, Oklahoma motorists continue to pay among the nation’s lower gasoline prices. The statewide average was $3.35 per gallon, compared with a national average of $3.82. Prices averaged $3.25 in Tulsa and $3.35 in Oklahoma City, while Coal County reported the state’s highest average at $4.21 per gallon.
This story was rewritten and adapted from reporting by Oklahoma Energy Today.
