Sag Harbor - New York State Assemblyman Fred W. Thiele, Jr. (I, D, WF-Sag Harbor) charged major gasoline suppliers and wholesalers with price gouging on the South Fork over the Memorial Day Weekend in violation of the State's prohibition on zone pricing.

A month ago, according to AAA, the average price of a gallon of regular gasoline was $4.135. Today, it is $4.028 or about an 11 cent decline. In every major market in the state, gasoline prices declined from seven cents to as much as 15 cents in the past month. This drop at the pump is reflective of the fact that the price of a barrel of oil has dropped and now stabilized at around $100 a barrel.

In Nassau-Suffolk, the average price of a gallon of regular gasoline was $4.224 cents a month ago. Today it is $4.08. However, while gasoline has dipped below $4 a gallon on the North Fork and in other areas of Long Island, gasoline prices have seemed frozen in time for the last month on the South Fork, above $4.25.

Thiele stated, "It is obvious that when it came to gasoline prices in one of the most popular vacation communities in America, 'Big Oil' has chosen to not only ignore the zone pricing law but also repeal the law of supply and demand. In response to the decline in oil prices, retail gasoline prices have declined across the state and nation - except on the South Fork. Prices haven't moved in a month. It is clear that prices were kept artificially high to exploit the big holiday weekend."

Thiele added, "I will contact the State Attorney General to review this matter and will pursue stronger zone pricing rules in the State Legislature."

Thiele has introduced A.7775 in the State Assembly. The law would define "Zone Pricing" to mean the establishment of arbitrary price differences based on geographical location of the retail outlet within the relevant geographic market, without regard to the posted terminal prices or any additional costs where the effect is to injure competition. The law would also be amended to allow a wholesaler or dealer who has been injured by reason of a violation of the zone pricing law to bring an action in his or her name to enjoin such unlawful act.