Fuels

Conn. Stations Can Offer Cash Discounts

AG releases opinion at gov's request
HARTFORD, Conn. -- Connecticut Attorney General Richard Blumenthal said Monday there is no federal law that would block the state from passing legislation allowing gas stations to offer discounts to customers who pay in cash, reported the Associated Press.

Blumenthal, at the request of Governor M. Jodi Rell, released a legal opinion on the topic, which is expected to be among proposals considered when the General Assembly meets in a special session Wednesday.

Rell has asked legislative leaders to expand the special session of the assembly to include postponing the planned [image-nocss] increase in the gasoline tax scheduled for July 1, saying the move will provide some measure of relief to the state's beleaguered motorists. (Click here for CSP Daily News coverage.)

"The state of Connecticut has full authority to enable cash discounts," Blumenthal said. "We give a green light to the legislature this Wednesday for legislation that would enable cash discounts and enhance competition with much better incentives to consumers."

Blumenthal estimates drivers could save 10 to 12 cents. But the state's gasoline retailers association has suggested 16- to 20-cent-per-gallon savings are possible.

Most oil companies block gas station franchise owners from offering discounts to customers who use cash rather than credit cards. Such franchise agreements affect about 85% of the approximate 1,000 gas stations across the state.

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