Ferrellgas accused of price gouging

March 21, 2014

Ferrellgas, Inc. and its affiliate Best Propane, are under investigation by Michigan Attorney General Bill Schuette after his office received 65 complaints of excessive pricing and misrepresenting the price that customers would have to pay for propane.

The average State-wide price of propane in early February was as high as $3.76 per gallon. Some Ferrellgas customers were reportedly charged more than $8 per gallon.

The Attorney General’s office has heard complaints from more than 700 Michigan propane customers since the beginning of the year about propane pricing. According to the Michigan Consumer Protection Act, retailers cannot charge prices that are “grossly in excess of the price at which similar property or services are sold.”

Schuette has requested civil subpoenas for his investigation. “Michigan families have enough rising costs to worry about without being concerned that they may be taken advantage of by their energy supplier,” he said. “We are prepared to take legal action if it is determined that state law has been broken.”

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