Supported by The Climate Center

SB 2 – Energy: transportation fuels: supply and pricing: maximum gross gasoline refining margin.

Senator Nancy Skinner

Existing law requires operators of refineries in the state that produce gasoline meeting California specifications, within 30 days of the end of each calendar month, to submit a report to the California Energy Commission (CEC) containing certain information regarding its refining activities related to the production of gasoline in that month. Existing law requires the commission to notify a refiner that has failed to timely provide the required information and imposes a civil penalty on the refiner that fails to submit the required information within 5 days of being notified of the failure.

Among several other provisions, This bill would establish a maximum gross gasoline refining margin at an unspecified amount per gallon and would authorize the CEC to annually adjust the maximum gross gasoline refining margin. This bill would authorize the CEC to petition the court to enjoin a refiner from exceeding the maximum gross gasoline refining margin. This bill would also authorize the CEC to assess an administrative civil penalty on a refiner for exceeding the maximum gross gasoline refining margin. This bill would require the penalties collected to be deposited into the Price Gouging Penalty Fund, which the bill would create in the State Treasury. The bill would require moneys in the fund, upon appropriation by the Legislature, to be returned, as refunds, to residents of California.

Full bill text and status info