State Attorney General Bill Schuette says Amerigas will refund $500,000 to 5600 customers in Michigan for overcharging them last winter.
"I think the message is real clear," Schuette said during a conference call. "No rip offs of consumers are allowed in Michigan."
Schuette says Amerigas charged customers amount that were "grossly" in excess of what other propane companies in the state were charging.
He says the Michigan Consumer Protection Act prohibits price gouging.
Schuette announced a similar settlement last month with Ferrillgas. The propane company will refund $100,000 to 600 of its Michigan customers.