WASHINGTON – Eight years ago, Federal Trade Commission investigators believed that BP occasionally exported oil from Alaska’s North Slope to Asia in an effort to drive up spot crude oil prices on the West Coast.

The information was developed as part of the FTC’s review of the $27 billion merger between BP and Atlantic Richfield, but nothing was ever done with it.

Now, the commission has issued a 39-page document citing the BP trading and other examples and asking for public comment on whether such activity represents the type of “market manipulation” in the oil industry that Congress has given it broad new powers to investigate.

Rather than propose its own rules or guidelines to investigate “manipulative or deceptive” actions in the wholesale gasoline and petroleum markets and levy fines of up to $1 million a day, the commission has decided to give the public 30 days to tell it what should be in such a regulatory scheme.

On Capitol Hill, Sen. Maria Cantwell, D-Wash., who sponsored the legislation to give the FTC such powers, said Friday that she was disappointed that the FTC hadn’t come up with its own rules, but that at least it was headed in the right direction.

“If I had my druthers I would have come out with an actual rule,” said Cantwell, who has been pressuring the commission to act quickly. “But this is an important first step, and Congress will make sure they don’t stumble.”

The mere threat of action may already have caught the attention of the oil markets, she said.

“Last night was the first time in two weeks that gasoline prices didn’t rise overnight,” Cantwell said. “We don’t have to wait for a final rule for them to understand these practices won’t be tolerated in the marketplace.”

Cantwell said she was encouraged that the FTC was apparently paying attention to similar enforcement activities at the Securities and Exchange Commission and the Federal Energy Regulatory Commission and previous legal decisions in laying out its case for developing guidelines.

FTC officials indicated that they wanted to have a final rule in place by the end of this year.

“We understand that consumers are being hurt by high gas prices, and the commission remains vigilant in using its full authority to prevent unlawful behavior that affects gasoline prices,” FTC Chairman William Kovacic said in a statement.

Kovacic said the request for public comment was an “important part of our efforts to assess, quickly and thoughtfully, how the commission’s new market manipulation authority may be used to protect the American people.”

After reviewing the public comments, the FTC will write a final rule.

In its document, the FTC noted that BP may have been exporting Alaskan crude to inflate West Coast oil prices and asked for comment on whether such conduct is still occurring and whether it should be considered manipulative or deceptive.

For Cantwell, the answer was simple.

“If BP did it to short supply, this is what we are talking about, this is manipulation,” she said. “Until we passed the energy bill last year, it may not have been a clear violation. Now, it is illegal.”

The FTC also sought comment on other possible “scenarios,” including whether it should be illegal for an oil company to withhold shipments of crude to the U.S. while waiting for prices to go up. In addition, the commission sought comment on what effect Congress’ decision to lift the export ban on North Slope oil in 1995 has had on markets.

Cantwell said she already has requested that the Senate Energy and Natural Resources Committee and the Senate Commerce Committee hold oversight hearings on the FTC’s efforts.

“We will make sure there are teeth in this,” she said. “If there is a policeman in your neighborhood, what happens? Crime goes down. The more robust this effort is, the more helpful it will be in bringing prices down.”