FROM THE DESK OF THE COMPTROLLER

With the summer vacation season underway, the rising price of gasoline is a major issue on the minds of Maryland motorists. Despite these increases, I am committed to doing whatever I can as Comptroller to ensure that Marylanders get the fairest shake possible at the pump. That is why as the chief regulator of petroleum products, I have outlined three important initiatives that will help consumers deal with high gas prices.

First, I have asked the five major oil companies to explain their policies on the industry practice of zone pricing, where gasoline is sold to retailers at wholesale prices that differ across geographic areas. Zone pricing can lead to significant price differences that hurt consumers. I have received information from four oil companies and held meetings with a fifth. We are now in the process of reviewing what follow-up options we have available. Unfortunately, a recent Supreme Court ruling may have undercut our efforts to investigate on behalf of the Maryland consumer, but we will explore all our legal and regulatory options.

Second, my enforcement agents, along with Department of Agriculture inspectors, have begun a year-long study to verify that gas is being properly stored at the reference temperature of 60 degrees or cooler. When the average temperature of fuel in storage tanks at the retail outlets exceeds 60 degrees, it is commonly referred to as 'hot fuel.' When fuel is hotter, it expands and consumers may not be getting the expected energy value for their dollar. The data we collect will be useful in any call for legislation to address the issue in the future.

Finally, my office has launched an information campaign on our Web site to inform consumers of cheaper local fuel prices, what makes up gas prices and where to lodge complaints. I have established an email address gashelp@comp.state.md.us, where citizens can report fuel price disparities or fuel problems.

As gas prices continue to climb, I believe consumers deserve to know whether they are getting what they pay for before they hit the road. With these three initiatives, it is my hope that we can provide some much needed relief at the pump for Maryland consumers.