• 3 minutes Natural gas is crushing wind and solar power
  • 6 minutes OPEC and Russia could discuss emergency cuts
  • 8 minutes Is Pete Buttigieg emerging as the most likely challenger to Trump?
  • 11 minutes Question: Why are oil futures so low through 2020?
  • 13 minutes Don't sneeze. Coronavirus is a threat to oil markets and global economies
  • 34 mins Oil and gas producers fire back at Democratic presidential candidates.
  • 6 hours So the west is winning, is it? Only if you’re a delusional Trump toady, Mr Pompeo, by Simon Tisdall
  • 10 hours Peak Shale Will Send Oil Prices Sky High
  • 9 mins "Criticism of migration will become a criminal offense.  And media outlets that give room to criticism of migration, can be shut down." - EU Official to the Media.
  • 3 hours Fight with American ignorance, Part 1: US is a Republic, it is not a Democracy
  • 11 hours Charts of COVID-19 Fatality Rate by Age and Sex
  • 4 hours CDC covid19 coverup?
  • 19 hours Democrats Plan "B" Bloomberg Implodes. Plan "C" = John Kerry ?
  • 1 day “The era of cheap & abundant energy is long gone. Money supply & debt have grown faster than real economy. Debt saturation is now a real risk, requiring a global scale reset.”"We are now in new era of expensive unconventional energy
  • 1 day Who decides the Oil costs?
Alt Text

The Billion Dollar Bet On An Oil Price Crash

Mexico’s billion dollar oil hedge…

Alt Text

What Beijing’s Retaliation Means For Oil

China has fired back against…

Jen Alic

Jen Alic

 

More Info

Premium Content

BP, Shell, Statoil, Platts Raided for Price-Fixing

The European Union Commission has raided the offices of Royal Dutch Shell, Statoil and Platts over energy price-fixing concerns in an investigation that could take years to conclude.

Britain’s BP, Norway’s Statoil and Shell, which is listed in London and Amsterdam, were raided on suspicion that the oil and gas giants have attempted to manipulate energy prices by colluding to report distorted prices and to prevent other companies from submitting their prices that were not in line with this alleged collusion.

BP, Statoil and Shell submit their prices to Platts Market on Close (MOC), which then publishes the final trading prices.

At issue are prices for crude oil, biofuels and refined oil products, including gasoline, heating oil and petrochemicals.

Related article: EU Raids BP and Shell Over Price-Fixing Concerns

This news led to the obvious question among consumers watching the raids and ensuing investigation closely: Has this potential price-fixing affected prices at the gas pumps? According to the EU Commission: Yes, because any small distortion affects what end consumers pay. But this goes beyond gas at the pump. Price-fixing can also inflate prices for everything from products that use gas derivatives, like cosmetics, to airline tickets.

All said and done, analysts estimate that price-fixing could have increased the average consumer’s household fuel bill by over £2,000 over the past decade. 

How is the market responding to the raid? On Thursday, the London-listed oil giants were down, but not out. Shell suffered a 55p slide to 2,300.5p, while BP dipped 0.95p to 467.6p.

In London, British Prime Minister David Cameron said oil executives found guilty of price-fixing could be prosecuted under the Financial Services 2012 Act, which came into force last month.

By. Jen Alic of Oilprice.com




Download The Free Oilprice App Today

Back to homepage




Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News