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Pataki Fuels Open Competition

New York Governor George Pataki is forcing open competition at the pump. In his state (as well as others), a fuel company has been able to require that gas stations (soon to be an outdated term) buy product only from it.

Pataki signed a law making such exclusivity contracts illegal, which is necessary since few petroleum companies also sell ethanol or biodiesel. It will take years for the infrastructure for distributing alternative fuels at retail to be in place, but Pataki's move provides competition that will get petroleum companies into the game sooner.

Pataki also required his state government to buy only alternative fuel vehicles, and offers incentives to open alternative fuel pumps.

While some might argue that alternative fuels don't deserve any federal assistance, we have to remember that the petroleum industry receives millions in incentives, so in some ways Pataki is leveling the playing field. For the small business owner looking to participate in alternative fuels, Pataki is a hero.

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