Bill advances to close loophole blamed for energy speculation

Land Line Magazine

The U.S. Senate overwhelmingly overrode President Bush’s veto of the Farm Bill last week, voting 82-13 to approve the bill that also aims to close a legal loophole championed by Enron, which allows energy commodities to inflate gas and diesel prices.

Any closing of the “Enron” loophole could have a profound effect on trucking. Energy industry insiders have estimated as much as a third of the per-barrel cost of crude oil is driven by investment speculation.

The bill would close a loophole in market trading regs that currently allows for “over-the-counter” trading of energy futures – essentially allowing investors to gamble and reap large rewards on the escalation of oil prices.

To read the rest of this article, please click here.

Bill advances to close loophole blamed for energy speculation  »