Lower Prices at the Pump Act

Full Title:
Lower Prices at the Pump Act

Summary#

This bill, the Lower Prices at the Pump Act, makes it illegal to sell gasoline or other petroleum distillates at prices that are "unconscionably excessive" during a defined period tied to the 2026 military conflict with Iran. The covered period begins when the bill is enacted and ends when the President, after consulting congressional leaders, certifies that military operations that began in March 2026 have ceased and the Strait of Hormuz is fully open to shipping. To decide if a price is excessive, the bill directs regulators to compare current prices to the seller’s average prices in the 30 days before February 28, 2026, to competing sellers’ prices at the same location, and to consider added costs or risks and market conditions. The Federal Trade Commission (FTC) would enforce the rule as an unfair or deceptive practice. States may bring civil suits on behalf of residents with notice to the FTC. Criminal penalties of up to $500,000,000 are allowed and must be pursued by the Department of Justice; collected penalties go into a Consumer Relief Trust Fund to support the Low Income Home Energy Assistance Program (LIHEAP) and Weatherization Assistance Program. The bill also defines retail and wholesale sales and says it does not limit other FTC authority or preempt state law.

What it means for you#

  • If you buy fuel: the bill aims to stop very large, sudden price increases tied to the Iran conflict. Enforcement could lead to refunds, fines, or other relief for consumers if violations are found.
  • If you sell fuel: you must be able to show that prices reflect normal business practices, past prices, competition, added costs or risks, or general market conditions. Sellers could face FTC enforcement, state civil suits, or criminal prosecution for violations.
  • If you are a state official: you may bring cases on behalf of residents but must notify the FTC and may be limited while a federal action is pending.

Expenses#

  • The bill sets a criminal fine cap of $500,000,000 for violations.
  • Fines and penalties collected would be deposited in the Consumer Relief Trust Fund and used for LIHEAP and the Weatherization Assistance Program.
  • No publicly available information on the bill’s estimated federal budget cost, administrative costs for enforcement, or effects on fuel prices.

Proponents' View#

The bill text states its purpose is to protect consumers from gasoline and fuel price gouging during the Iran-related conflict and to direct penalties to energy assistance programs (LIHEAP and Weatherization). Proponents therefore frame the measure as deterring excessive price hikes and using penalties to help low-income households with energy needs.

Opponents' View#

No publicly available information on opponents’ stated views in the bill text or provided metadata.