Senators unveil plan to rein in big oil, OPEC

By Chris Baltimore

WASHINGTON (Reuters) – Six U.S. senators on Thursday backed
legislation that could spur more federal scrutiny of future
mergers between oil companies, and trigger a possible
price-fixing lawsuit against the OPEC oil cartel.

Meanwhile, 52 Democratic lawmakers asked the White House to
hold a bipartisan “energy summit” to talk about securing future
U.S. energy supplies as U.S. oil prices neared $70 a barrel and
gasoline pump prices march closer to $3 a gallon in advance of
the busy summer driving season.

The White House declined to accept to the invitation and
said Democrats should support President George W. Bush’s plan
to cut crude oil use through alternative fuels like ethanol.

The Senate bill, sponsored by Senate Judiciary Committee
Chairman Arlen Specter and Wisconsin Democrat Herb Kohl, would
encourage greater scrutiny by the U.S. Justice Department and
Federal Trade Commission of future oil and gas mergers.

The “Petroleum Industry Antitrust Act of 2006″ would also
allow the U.S. attorney general to sue oil producing cartels if
they try to limit production or set prices — a provision aimed
squarely at the Organization of Petroleum Exporting Countries,
which pumps about a third of the world’s crude oil.

“OPEC has America over a barrel and we should fight back,”
said Sen. Patrick Leahy, Vermont Democrat.

Separately, Democrats led by Sen. Maria Cantwell of
Washington asked the White House to convene a bipartisan
“energy summit” to talk about solutions.

A White House spokesman said Bush is glad Democrats are
paying attention to his warnings about foreign oil dependence.

But spokesman Ken Lisaius made no commitments beyond
working with Republicans in Congress to pass Bush’s “Advanced
Energy Initiative.” That plan calls for more research and
funding into clean-burning fuel sources like ethanol as well as
wind, solar and electricity from hydrogen.

“We welcome (Democrats) on board the President’s Advanced
Energy Initiative that the president has been talking about
since January,” Lisaius said.

Separately, Sen. Kent Conrad, North Dakota Democrat, filed
energy legislation that would give rebates up to $2,500 for
consumers to buy the most fuel-efficient automobiles.

Conrad’s bill would also future U.S.-made cars to have
alternative technology like flexible that run on ethanol fuel
or hybrid electric-gasoline power.