Attorney General Douglas Moylan reminded local businesses that price gouging will not be tolerated in a statement on Thursday as a result of recent storm developments.
Now a tropical storm 09W is positioned east of Guam and with weather officials anticipating it to intensify over the next several days, possibly becoming a Category 4 typhoon. As the island makes storm preparations, Moylan made it clear, “merchants cannot raise prices in anticipation of disaster.”
“Once a Condition of Readiness is declared, Guam law freezes wholesale and retail prices at pre-emergency levels. Moylan said.
The restriction does not prevent merchants, like gas stations from lowering prices according to Moylan.
“You may lower prices at any time. With global instability affecting fuel markets, if costs drop, prices should drop. What the law prohibits is raising prices on our People who are trying to prepare.”
He explained that with price gouging prohibited merchants and landlords are not allowed to increase prices due to a storm or typhoon.
“Once COR 1, 2, or 3 is declared, wholesale and retail prices are frozen and remain frozen until seventy-two (72) hours after Guam returns to COR 4. This freeze applies to gasoline, diesel, propane, and all essential goods,” Moylan said.
This Storm Watch Update is presented by Tenorio-Muna Barnes - Building Guam’s future together, Burger King and Mactech Guam.