October 1998

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HPIn Processing: Refining "divorcement"

Over the past few years, gasoline prices in California (as well as other areas of the U.S.) have experienced occasional spikes. In some areas, most notably San Diego and San Francisco, these price spi..

Nakamura, D. N., Hydrocarbon Processing Staff

Over the past few years, gasoline prices in California (as well as other areas of the U.S.) have experienced occasional spikes. In some areas, most notably San Diego and San Francisco, these price spikes were attributed (by much of the public and some politicians) to collusion among California refiners. This incorrect assumption is resulting in the possibility of new legislation that will restrict the control refiners have over retail gasoline stations, an effect termed "divorcement." A study published this summer by the Petroleum Industry Research Foundation, Inc. (PIRINC), outlines the issues concerning divorcement. More specifically, the study concludes, based on the present refi

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