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Rules Committee continues debate on proposal to force refiners to divest city gas stations after OEA finds little price effect
Summary
The committee heard an Office of Economic Analysis presentation finding the proposed 'divorcement' ordinance is unlikely to change San Francisco gas prices because wholesale 'zone pricing' and franchise agreements limit retail competition; the committee continued the measure to the chair and plans scheduling in January.
Supervisor Tom Ammiano framed a draft ordinance that would require petroleum refiners to divest company-operated service stations in San Francisco and bar future refiner ownership, citing unusually high local gasoline prices and concerns about vertical control.
The City Attorney described the measure and an amendment of the whole that would extend the ban to wholesale suppliers. Bill Lester, staff…
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