In Pipeline Outage, South Carolina Enacts Price Gouging Law

COLUMBIA, S.C. — South Carolinaโ€™s top prosecutor has enacted a measure criminalizing price gouging following the shutdown of a pipeline that carries fuel to much of the state.

On Tuesday, Attorney General Alan Wilson announced that he had declared an โ€œabnormal disruptionโ€ in the fuel market following the hacking of the Colonial Pipeline, allowing him to put the stateโ€™s price gouging statute in effect.

In such a circumstance, anyone found to be renting or selling a commodity at โ€œan unconscionable priceโ€ could be charged with price gouging.

According to state law, those found guilty of price gouging can face a $1,000 fine or 30 days in jail.

Anyone who suspects price gouging can contact Wilsonโ€™s office or email pricegouging@scag.gov.

The pipeline, operated by Georgia-based Colonial Pipeline, carries gasoline and other fuel from Texas to the Northeast. It delivers roughly 45% of fuel consumed on the East Coast, according to the company.

It was hit by what Colonial called a ransomware attack, in which hackers typically lock up computer systems by encrypting data, paralyzing networks, and then demand a large ransom to unscramble it.