Prohibition of Energy Market Manipulation Rule, 34548-34549 [2020-10988]

Download as PDF 34548 Federal Register / Vol. 85, No. 109 / Friday, June 5, 2020 / Proposed Rules to each co-owner or evidence of usage of the share account by each co-owner. * * * * * [FR Doc. 2020–11385 Filed 6–4–20; 8:45 am] BILLING CODE 7535–01–P FEDERAL TRADE COMMISSION 16 CFR Part 317 Prohibition of Energy Market Manipulation Rule Federal Trade Commission. Regulatory review; request for public comment. AGENCY: ACTION: The Federal Trade Commission (‘‘FTC’’ or ‘‘Commission’’) seeks public comment on the overall costs, benefits, and regulatory and economic impact of its rule prohibiting fraud or deceit in wholesale petroleum markets, and omissions of material information that are likely to distort petroleum markets, as part of the Commission’s systematic review of all current FTC rules and guides. DATES: Comments must be received on or before September 3, 2020. ADDRESSES: Interested parties may file a comment online or on paper, by following the instructions in the Request for Comment part of the SUPPLEMENTARY INFORMATION section. Write ‘‘Energy Market Manipulation Rule, 16 CFR part 317, Project No. P082900’’ on your comment, and file your comment online through https:// www.regulations.gov, by following the instructions on the web-based form. If you prefer to file your comment on paper, mail your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW, Suite CC–5610 (Annex J), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW, 5th Floor, Suite 5610 (Annex J), Washington, DC 20024. FOR FURTHER INFORMATION CONTACT: Peter Richman (202–326–2563), Assistant Director, Mergers III, Bureau of Competition, Federal Trade Commission, 600 Pennsylvania Avenue NW, Washington, DC 20580. SUPPLEMENTARY INFORMATION: lotter on DSK9F5VC42PROD with PROPOSALS SUMMARY: I. Background The Prohibition of Energy Market Manipulation Rule (‘‘Energy Market Manipulation Rule’’ or ‘‘Rule’’), authorized by the Energy Independence and Security Act of 2007 (‘‘EISA’’) (42 VerDate Sep<11>2014 17:12 Jun 04, 2020 Jkt 250001 U.S.C. 17301–17305), prohibits market manipulation in connection with the purchase or sale of crude oil or petroleum products. The Rule, initially promulgated by the Commission on November 4, 2009, prohibits fraudulent or deceptive conduct (including making false or misleading statements of material fact) in connection with wholesale purchases or sales of crude oil, gasoline, or petroleum distillates. The Rule separately bans the intentional failure to state a material fact when the omission (1) makes the statement misleading and (2) distorts or is likely to distort market conditions for any product covered by the Rule. The Commission formally adopted the Rule on November 4, 2009. II. Regulatory Review Program The Commission reviews its rules and guides periodically to seek information about their costs and benefits, regulatory and economic impact, and general effectiveness in protecting consumers and helping industry avoid deceptive claims. These reviews assist the Commission in identifying rules and guides that warrant modification or rescission. With this document, the Commission initiates its review of the Energy Market Manipulation Rule. The Commission solicits comments on, among other things, the economic impact of, and the continuing need for, the Rule, the Rule’s benefits to consumers, and the burdens it places on industry members subject to the Rule’s requirements, including small businesses. III. Issues for Comments To aid commenters in submitting information, the Commission has prepared the following specific questions related to the Energy Market Manipulation Rule. The Commission seeks comments on these and any other issues related to the Rule’s current requirements. In their replies, commenters should provide any available evidence and data that supports their positions, such as empirical data, consumer perception studies, and consumer complaints. (1) Need: Is there a continuing need for the Rule? Why or why not? (2) Benefits and Costs to Consumers: What benefits has the Rule provided to consumers, and does the Rule impose any significant costs on consumers? (3) Benefits and Costs to Industry Members: What benefits, if any, has the Rule provided to businesses, and does the Rule impose any significant costs, including costs of compliance, on businesses, including small businesses? (4) Changes: PO 00000 Frm 00012 Fmt 4702 Sfmt 4702 a. What modifications, if any, should the Commission make to the Rule to increase its benefits or reduce its costs? How would these modifications affect the costs and benefits of the Rule for consumers? How would these modifications affect the costs and benefits of the Rule for businesses, particularly small businesses? b. Is there evidence of acts or practices in connection with the purchase or sale of wholesale petroleum that violate the antitrust or consumer protection laws and that fall within the statutory prohibition of ‘‘any manipulative or deceptive device or contrivance,’’ but which § 317.3 does not reach? c. The Rule defines ‘‘knowingly’’ to mean ‘‘that the person knew or must have known that his or her conduct was fraudulent or deceptive.’’ 16 CFR 317.2(c). i. Has this definition prevented the Commission’s Rule from addressing behavior that is within the meaning of 42 U.S.C. 17301? ii. Specifically, would changing the definition of knowingly to capture acts, practices, or courses of business that a person ‘‘knew or should have known’’ was fraudulent or deceptive, or changing the definition in some other manner that tracks the statutory language, enhance the Commission’s ability to address behavior in wholesale petroleum markets that is within the meaning of 42 U.S.C. 17301? Commenters should address any costs and benefits to wholesale petroleum markets and industry participants from modifying the definition. (5) Impact on Information: What impact has the Rule had on the flow of truthful information to consumers and on the flow of deceptive information to consumers? (6) Compliance: Provide any evidence concerning the degree of industry compliance with the Rule. Does this evidence indicate that the Rule should be modified? If so, why, and how? If not, why not? (7) Unnecessary Provisions: Provide any evidence concerning whether any of the Rule’s provisions are no longer necessary. Explain why these provisions are unnecessary. (8) Technological or Economic Changes: What modifications, if any, should be made to the Rule to account for current or impending changes in technology or economic conditions? How would these modifications affect the costs and benefits of the Rule for consumers and businesses, particularly small businesses? (9) Conflicts with Other Requirements: Does the Rule overlap or conflict with E:\FR\FM\05JNP1.SGM 05JNP1 Federal Register / Vol. 85, No. 109 / Friday, June 5, 2020 / Proposed Rules lotter on DSK9F5VC42PROD with PROPOSALS other federal, state, or local laws or regulations? If so, how? Provide any evidence that supports your position. With reference to the asserted conflicts, should the Rule be modified? If so, why, and how? If not, why not? IX. Comment Submissions You can file a comment online or on paper. For the FTC to consider your comment, we must receive it on or before September 3, 2020. Write ‘‘Energy Market Manipulation Rule, 16 CFR part 317, Project No. P082900)’’ on your comment. Because of the public health emergency in response to the COVID–19 outbreak and the agency’s heightened security screening, postal mail addressed to the Commission will be subject to delay. We strongly encourage you to submit your comment online through the https:// www.regulations.gov website. To ensure the Commission considers your online comment, please follow the instructions on the web-based form provided by regulations.gov. Your comment, including your name and your state, will be placed on the public record of this proceeding, including the https:// www.regulations.gov website. If you file your comment on paper, write ‘‘Energy Market Manipulation Rule, 16 CFR part 317, Project No. P082900’’ on your comment and on the envelope, and mail it to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW, Suite CC– 5610 (Annex J), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW, 5th Floor, Suite 5610 (Annex J), Washington, DC 20024. If possible, please submit your paper comment to the Commission by courier or overnight service. Because your comment will be placed on the publicly accessible website at www.regulations.gov, you are solely responsible for making sure that your comment does not include any sensitive or confidential information. In particular, your comment should not include any sensitive personal information, such as your or anyone else’s Social Security number; date of birth; driver’s license number or other state identification number, or foreign country equivalent; passport number; financial account number; or credit or debit card number. You are also solely responsible for making sure that your comment does not include any sensitive health information, such as medical records or other individually identifiable health information. In VerDate Sep<11>2014 17:12 Jun 04, 2020 Jkt 250001 addition, your comment should not include any ‘‘trade secret or any commercial or financial information which . . . is privileged or confidential’’—as provided by Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 16 CFR 4.10(a)(2)— including in particular competitively sensitive information such as costs, sales statistics, inventories, formulas, patterns, devices, manufacturing processes, or customer names. Comments containing material for which confidential treatment is requested must be filed in paper form, must be clearly labeled ‘‘Confidential,’’ and must comply with FTC Rule 4.9(c). In particular, the written request for confidential treatment that accompanies the comment must include the factual and legal basis for the request, and must identify the specific portions of the comment to be withheld from the public record. See FTC Rule 4.9(c). Your comment will be kept confidential only if the General Counsel grants your request in accordance with the law and the public interest. Once your comment has been posted publicly at https:// www.regulations.gov—as legally required by FTC Rule 4.9(b)—we cannot redact or remove your comment unless you submit a confidentiality request that meets the requirements for such treatment under FTC Rule 4.9(c), and the General Counsel grants that request. Visit the FTC website to read this request for comment and the news release describing it. The FTC Act and other laws that the Commission administers permit the collection of public comments to consider and use in this proceeding as appropriate. The Commission will consider all timely and responsive public comments that it receives on or before September 3, 2020. For information on the Commission’s privacy policy, including routine uses permitted by the Privacy Act, see https://www.ftc.gov/site-information/ privacy-policy. By direction of the Commission. April J. Tabor, Acting Secretary. [FR Doc. 2020–10988 Filed 6–4–20; 8:45 am] BILLING CODE 6750–01–P PO 00000 Frm 00013 Fmt 4702 Sfmt 4702 34549 DEPARTMENT OF HOMELAND SECURITY U.S. Customs and Border Protection 19 CFR Parts 24 and 111 [Docket No. USCBP–2020–0010] RIN 1515–AE43 Elimination of Customs Broker District Permit Fee U.S. Customs and Border Protection, DHS; Department of the Treasury. ACTION: Notice of proposed rulemaking. AGENCY: This document proposes to amend the U.S. Customs and Border Protection (CBP) regulations to eliminate customs broker district permit fees. Concurrently with this document, CBP is publishing a notice of proposed rulemaking to, among other things, eliminate customs broker districts (see ‘‘Modernization of the Customs Brokers Regulations’’ RIN 1651–AB16). Specifically, CBP proposes to transition all brokers to national permits and to expand the scope of the national permit authority to allow national permit holders to conduct any type of customs business throughout the customs territory of the United States. By transitioning to a national permit, CBP also proposes to eliminate the requirements for brokers to maintain district permits. As a result, CBP proposes the conforming amendments discussed in this document to eliminate customs broker district permit fees. DATES: Comments must be received on or before August 4, 2020. ADDRESSES: You may submit comments, identified by docket number, by one of the following methods: • Federal eRulemaking Portal at http://www.regulations.gov. Follow the instructions for submitting comments via Docket No. USCBP–2020–0010. • Mail: Trade and Commercial Regulations Branch, Regulations and Rulings, Office of Trade, U.S. Customs and Border Protection, 90 K Street NE, 10th Floor, Washington, DC 20229– 1177. Instructions: All submissions received must include the agency name and docket number for this rulemaking. All comments received will be posted without change to http:// www.regulations.gov, including any personal information provided. For detailed instructions on submitting comments and additional information on the rulemaking process, see the ‘‘Public Participation’’ heading of the SUMMARY: E:\FR\FM\05JNP1.SGM 05JNP1

Agencies

[Federal Register Volume 85, Number 109 (Friday, June 5, 2020)]
[Proposed Rules]
[Pages 34548-34549]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-10988]


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FEDERAL TRADE COMMISSION

16 CFR Part 317


Prohibition of Energy Market Manipulation Rule

AGENCY: Federal Trade Commission.

ACTION: Regulatory review; request for public comment.

-----------------------------------------------------------------------

SUMMARY: The Federal Trade Commission (``FTC'' or ``Commission'') seeks 
public comment on the overall costs, benefits, and regulatory and 
economic impact of its rule prohibiting fraud or deceit in wholesale 
petroleum markets, and omissions of material information that are 
likely to distort petroleum markets, as part of the Commission's 
systematic review of all current FTC rules and guides.

DATES: Comments must be received on or before September 3, 2020.

ADDRESSES: Interested parties may file a comment online or on paper, by 
following the instructions in the Request for Comment part of the 
SUPPLEMENTARY INFORMATION section. Write ``Energy Market Manipulation 
Rule, 16 CFR part 317, Project No. P082900'' on your comment, and file 
your comment online through https://www.regulations.gov, by following 
the instructions on the web-based form. If you prefer to file your 
comment on paper, mail your comment to the following address: Federal 
Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW, 
Suite CC-5610 (Annex J), Washington, DC 20580, or deliver your comment 
to the following address: Federal Trade Commission, Office of the 
Secretary, Constitution Center, 400 7th Street SW, 5th Floor, Suite 
5610 (Annex J), Washington, DC 20024.

FOR FURTHER INFORMATION CONTACT: Peter Richman (202-326-2563), 
Assistant Director, Mergers III, Bureau of Competition, Federal Trade 
Commission, 600 Pennsylvania Avenue NW, Washington, DC 20580.

SUPPLEMENTARY INFORMATION: 

I. Background

    The Prohibition of Energy Market Manipulation Rule (``Energy Market 
Manipulation Rule'' or ``Rule''), authorized by the Energy Independence 
and Security Act of 2007 (``EISA'') (42 U.S.C. 17301-17305), prohibits 
market manipulation in connection with the purchase or sale of crude 
oil or petroleum products. The Rule, initially promulgated by the 
Commission on November 4, 2009, prohibits fraudulent or deceptive 
conduct (including making false or misleading statements of material 
fact) in connection with wholesale purchases or sales of crude oil, 
gasoline, or petroleum distillates. The Rule separately bans the 
intentional failure to state a material fact when the omission (1) 
makes the statement misleading and (2) distorts or is likely to distort 
market conditions for any product covered by the Rule. The Commission 
formally adopted the Rule on November 4, 2009.

II. Regulatory Review Program

    The Commission reviews its rules and guides periodically to seek 
information about their costs and benefits, regulatory and economic 
impact, and general effectiveness in protecting consumers and helping 
industry avoid deceptive claims. These reviews assist the Commission in 
identifying rules and guides that warrant modification or rescission.
    With this document, the Commission initiates its review of the 
Energy Market Manipulation Rule. The Commission solicits comments on, 
among other things, the economic impact of, and the continuing need 
for, the Rule, the Rule's benefits to consumers, and the burdens it 
places on industry members subject to the Rule's requirements, 
including small businesses.

III. Issues for Comments

    To aid commenters in submitting information, the Commission has 
prepared the following specific questions related to the Energy Market 
Manipulation Rule. The Commission seeks comments on these and any other 
issues related to the Rule's current requirements. In their replies, 
commenters should provide any available evidence and data that supports 
their positions, such as empirical data, consumer perception studies, 
and consumer complaints.
    (1) Need: Is there a continuing need for the Rule? Why or why not?
    (2) Benefits and Costs to Consumers: What benefits has the Rule 
provided to consumers, and does the Rule impose any significant costs 
on consumers?
    (3) Benefits and Costs to Industry Members: What benefits, if any, 
has the Rule provided to businesses, and does the Rule impose any 
significant costs, including costs of compliance, on businesses, 
including small businesses?
    (4) Changes:
    a. What modifications, if any, should the Commission make to the 
Rule to increase its benefits or reduce its costs? How would these 
modifications affect the costs and benefits of the Rule for consumers? 
How would these modifications affect the costs and benefits of the Rule 
for businesses, particularly small businesses?
    b. Is there evidence of acts or practices in connection with the 
purchase or sale of wholesale petroleum that violate the antitrust or 
consumer protection laws and that fall within the statutory prohibition 
of ``any manipulative or deceptive device or contrivance,'' but which 
Sec.  317.3 does not reach?
    c. The Rule defines ``knowingly'' to mean ``that the person knew or 
must have known that his or her conduct was fraudulent or deceptive.'' 
16 CFR 317.2(c).
    i. Has this definition prevented the Commission's Rule from 
addressing behavior that is within the meaning of 42 U.S.C. 17301?
    ii. Specifically, would changing the definition of knowingly to 
capture acts, practices, or courses of business that a person ``knew or 
should have known'' was fraudulent or deceptive, or changing the 
definition in some other manner that tracks the statutory language, 
enhance the Commission's ability to address behavior in wholesale 
petroleum markets that is within the meaning of 42 U.S.C. 17301? 
Commenters should address any costs and benefits to wholesale petroleum 
markets and industry participants from modifying the definition.
    (5) Impact on Information: What impact has the Rule had on the flow 
of truthful information to consumers and on the flow of deceptive 
information to consumers?
    (6) Compliance: Provide any evidence concerning the degree of 
industry compliance with the Rule. Does this evidence indicate that the 
Rule should be modified? If so, why, and how? If not, why not?
    (7) Unnecessary Provisions: Provide any evidence concerning whether 
any of the Rule's provisions are no longer necessary. Explain why these 
provisions are unnecessary.
    (8) Technological or Economic Changes: What modifications, if any, 
should be made to the Rule to account for current or impending changes 
in technology or economic conditions? How would these modifications 
affect the costs and benefits of the Rule for consumers and businesses, 
particularly small businesses?
    (9) Conflicts with Other Requirements: Does the Rule overlap or 
conflict with

[[Page 34549]]

other federal, state, or local laws or regulations? If so, how? Provide 
any evidence that supports your position. With reference to the 
asserted conflicts, should the Rule be modified? If so, why, and how? 
If not, why not?

IX. Comment Submissions

    You can file a comment online or on paper. For the FTC to consider 
your comment, we must receive it on or before September 3, 2020. Write 
``Energy Market Manipulation Rule, 16 CFR part 317, Project No. 
P082900)'' on your comment. Because of the public health emergency in 
response to the COVID-19 outbreak and the agency's heightened security 
screening, postal mail addressed to the Commission will be subject to 
delay. We strongly encourage you to submit your comment online through 
the https://www.regulations.gov website. To ensure the Commission 
considers your online comment, please follow the instructions on the 
web-based form provided by regulations.gov. Your comment, including 
your name and your state, will be placed on the public record of this 
proceeding, including the https://www.regulations.gov website.
    If you file your comment on paper, write ``Energy Market 
Manipulation Rule, 16 CFR part 317, Project No. P082900'' on your 
comment and on the envelope, and mail it to the following address: 
Federal Trade Commission, Office of the Secretary, 600 Pennsylvania 
Avenue NW, Suite CC-5610 (Annex J), Washington, DC 20580, or deliver 
your comment to the following address: Federal Trade Commission, Office 
of the Secretary, Constitution Center, 400 7th Street SW, 5th Floor, 
Suite 5610 (Annex J), Washington, DC 20024. If possible, please submit 
your paper comment to the Commission by courier or overnight service.
    Because your comment will be placed on the publicly accessible 
website at www.regulations.gov, you are solely responsible for making 
sure that your comment does not include any sensitive or confidential 
information. In particular, your comment should not include any 
sensitive personal information, such as your or anyone else's Social 
Security number; date of birth; driver's license number or other state 
identification number, or foreign country equivalent; passport number; 
financial account number; or credit or debit card number. You are also 
solely responsible for making sure that your comment does not include 
any sensitive health information, such as medical records or other 
individually identifiable health information. In addition, your comment 
should not include any ``trade secret or any commercial or financial 
information which . . . is privileged or confidential''--as provided by 
Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 
16 CFR 4.10(a)(2)--including in particular competitively sensitive 
information such as costs, sales statistics, inventories, formulas, 
patterns, devices, manufacturing processes, or customer names.
    Comments containing material for which confidential treatment is 
requested must be filed in paper form, must be clearly labeled 
``Confidential,'' and must comply with FTC Rule 4.9(c). In particular, 
the written request for confidential treatment that accompanies the 
comment must include the factual and legal basis for the request, and 
must identify the specific portions of the comment to be withheld from 
the public record. See FTC Rule 4.9(c). Your comment will be kept 
confidential only if the General Counsel grants your request in 
accordance with the law and the public interest. Once your comment has 
been posted publicly at https://www.regulations.gov--as legally 
required by FTC Rule 4.9(b)--we cannot redact or remove your comment 
unless you submit a confidentiality request that meets the requirements 
for such treatment under FTC Rule 4.9(c), and the General Counsel 
grants that request.
    Visit the FTC website to read this request for comment and the news 
release describing it. The FTC Act and other laws that the Commission 
administers permit the collection of public comments to consider and 
use in this proceeding as appropriate. The Commission will consider all 
timely and responsive public comments that it receives on or before 
September 3, 2020. For information on the Commission's privacy policy, 
including routine uses permitted by the Privacy Act, see https://www.ftc.gov/site-information/privacy-policy.

    By direction of the Commission.
April J. Tabor,
Acting Secretary.
[FR Doc. 2020-10988 Filed 6-4-20; 8:45 am]
 BILLING CODE 6750-01-P