STATEMENT FROM THE GOVERNOR ABOUT MARATHON OIL DECISION
TO WITHHOLD GASOLINE DELIVERIES
Gov. Joe Manchin today released the following statement about a decision by Marathon Oil Corp. to temporarily stop deliveries of fuel - to its Charleston distribution center -- that ordinarily would be sold to independent, non-branded gasoline stations.
"I am totally disappointed in Marathon's decision not to provide deliveries to their independent customers, especially considering our emergency situation with the recent flooding in our state," Manchin said. "Now is the time they should be stepping up to help their customers and our citizens through difficult times.
"We believe they are still able to operate within any restrictions imposed by the price-gouging laws, and it's just a shame that they can't help their neighbors and look beyond that for the short time the declaration remains in effect."
Marathon officials told the governor their decision was made in light of anti-price-gouging laws that were triggered by the governor's May 9 declaration of a state of emergency in flood-affected southern West Virginia counties and the contiguous counties.
When a state of emergency is declared, anti-price-gouging laws automatically take effect for any areas contained within the declaration. Kanawha County was included in the governor's state of emergency declaration. Two major distribution centers for Marathon Oil are located in Kanawha County.
The anti-price-gouging laws allow businesses to increase prices to recoup costs if the increase is directly attributable to additional costs imposed on the business. Despite this, Marathon officials expressed concern over how West Virginia's law could be interpreted to affect their distribution operations.
This decision by Marathon can affect up to 9 percent of the company's customer base in the greater Charleston area. Branded stations (Speedway, Marathon, etc.) are not affected by this stoppage.
For the time being, independent dealers will be forced to drive to other distribution centers outside the state or in other parts of the state not within the emergency declaration.