Visclosky, who co-sponsored similar legislation during the last session of Congress, said that rising gas prices have cut into the pocketbooks of residents of Northwest Indiana, and he hopes Congress will continue to work to lower gas prices.

“While the people of Northwest Indiana pay record prices for gas prices, oil companies continue to rake in outrageous profits,” said Visclosky, who is the Chairman of the Appropriations Subcommittee on Energy and Water Development. “Addressing gas price gouging is the first step we must take to lower the cost of gasoline.  To get out, and stay out of this energy crisis, the U.S. must develop a comprehensive policy that creates more affordable energy, reduces our dependence on foreign oil, and invests in alternative energy sources.”

The anti-price gouging legislation Visclosky co-sponsored gives the Federal Trade Commission (FTC) authority to investigate and punish those who artificially inflate the price of energy, applicable to gasoline, oil, natural gas, home heating oil, crude oil, and propane.  Under the bill, the Justice Department could impose criminal penalties of up to $150 million on corporations, and fines of up to $2 million and jail sentences of up to 10 years for individuals. This would apply during a national emergency and would crack down on companies charging unconscionable and excessive prices.  In addition, the bill would provide the FTC with the authority to bring greater transparency to oil and gas markets, and direct penalties from price gougers to the Low-Income Home Energy Assistance Program (LIHEAP).

Visclosky also supported bipartisan legislation passed by the House yesterday to authorize the Justice Department to take legal action against OPEC state-controlled entities that participate in conspiracies to limit the supply, or fix the price, of oil. The legislation (HR 2264) makes clear that OPEC and other nations are exempt from the provisions of Foreign Sovereign Immunities Act if those governments are acting in a commercial capacity and are engaged in price-fixing and other anticompetitive activities.  It authorizes but does not mandate lawsuits in U.S. federal court against oil cartel members by the Justice Department.   

Visclosky believes we should not continue to stand by and watch OPEC, which accounts for more than two-thirds of global oil production and about 65% of the oil traded internationally, dictate the price of our gasoline without any recourse.  It is time to put our antitrust laws to work against the OPEC cartel, like we would against any other international cartel that is fleecing American consumers.

With Memorial Day and the start of the summer driving season only a few weeks away, Northwest Indiana drivers are paying a heavy price for the fact that the Bush Administration and the previous Congress failed to enact a comprehensive energy strategy.  This lack of energy policy has led to the current record-high prices people are being forced to pay at the pump.  If the Republican-led Congress had enacted anti-price gouging legislation when it was first proposed 18 months ago, there would be laws on the books today against gouging and excess profits.

According to AAA Fuel Gauge Report, Indiana families are paying near-record $3.41 up 144% from when President Bush took office. Last year, families paid $1,000 more on average for gasoline than in 2001, and each additional 10 cents per gallon of gasoline adds $14 billion to America’s annual gasoline bill, according to the Government Accountability Office (GAO).  What’s more, these skyrocketing prices come at a time when the six largest oil companies announced $30 billion in profits for the first quarter of 2007.  This is on top of the $125 billion in record profits they made in 2006.

Visclosky supported legislation in the in the first month of the 110^th Congress to roll back $14 billion dollars in taxpayer subsidies for Big Oil companies, believing that the current energy crisis is not the time to continue to subsidize oil company profits. “The high price of gas cuts into our nation’s economic stability, and compromises our national security,” said Visclosky.

Visclosky also believes in order to truly address the energy crisis facing our nation, a substantial investment must be made in the alternative energies that will allow the U.S. to produce affordable, home-grown energy and reduce our dependence on foreign oil.  As the Chairman of the Appropriations Subcommittee on Energy and Water Development, Visclosky has been a leader in Congress for investment in renewable energies, efficiency programs, new technologies, and biofuels.  Through his subcommittee, Visclosky boosted funding for Vehicle Technologies to $235 million, and funding for biomass research to $250 million.

“The United States is in energy crisis that needs to be addressed in a comprehensive fashion,” said Visclosky. “The people of Northwest Indiana need immediate relief at the gas pump, and the nation must also make new investments in American energy and innovative technologies to ensure our long-term success.”