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EMD-82-46 1 (1982-06-01)

handle is hein.gao/gaobabdlk0001 and id is 1 raw text is: 




REPORT BY THE


Comptroller General


OF THE UNITED STATES


Department Of Energy Has Made

Slow Progress Resolving Alleged Crude Oil

Reseller Pricing Violations

The Department of Energy's Economic Regulatory Admin-
istration (ERA) continues to face significant problems in
the crude oil reseller program which will hinder its efforts
to resolve billions in alleged violations.
The problems include:

   --Loss of key and highly experienced ERA personnel
   because of continued uncertainty about the pro-
   gram's future.

   --Likelihood of companies contesting enforcement docu-
   ments both administratively and in court, and the
   length of time that could elapse before ERA obtains
   ultimate judicial resolutions of contested issues.

   --Little success in negotiating settlements which were
   ERA's primary area of emphasis for fiscal year 1982.

In addition to the problems confronting the resolution of
identified violations, ERA has no plans to conduct civil
audits of the crude oil purchase and sales activities of
most major refiners, in spite of earlier findings that some
refiners were engaged in activities which potentially vio-
lated ERA's regulations.

GAO makes recommendations which are designed to
bring a sense of stability and certainty to the crude oil
reseller program, and thus encourage companies to coop-
erate with ERA in resolving alleged violations.

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                                                             GAO EMD-82-46
                  ICCOU14JUNE 1, 1982

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