Gov’t warns vs profiteering, excessive pump prices amid Middle East conflict

MANILA, Philippines – The Department of Energy (DOE) and several government officials warned gas stations against prematurely raising fuel prices amid heightened tensions in the Middle East.

The DOE in a statement said it is currently coordinating with the Philippine National Police (PNP) and Department of Interior and Local Government (DILG) following reports of possible hoarding and price manipulation.

“DOE field offices in Luzon and Mindanao have submitted initial reports and supporting pieces of evidence indicating potential irregularities in fuel supply and retail prices. These are being validated and consolidated as part of the department’s case build-up process, including referrals for possible law enforcement action,” the department said.

During inspections last week, for example, the DOE and PNP monitoring teams noted that diesel prices in a gas station in Tagum City jumped to P73.25 from just P64.85 per liter.

The DOE Mindanao field office determined that the still unnamed gas station implemented price adjustments earlier than the prescribed schedule. Premature price adjustments involving petroleum products such as gasoline and kerosene are illegal under the amended Price Act and Presidential Decree No. 1865.

Other illegal acts involving petroleum products include short selling, adulteration, overpricing and misuse of allocations.

Energy Secretary Sharon Garin said the department understands the challenging circumstances faced by the local oil industry, but no party should take advantage of the situation.

“We recognize that the industry operates under challenging global conditions, and we appreciate those who continue to act responsibly. At the same time, we will not allow any party to take advantage of the situation. Fair pricing and adequate supply are a commitment to every Filipino whose daily needs depend on it,” she said.

The DOE has ordered all oil companies and gasoline stations to implement the following maximum prices until Monday, March 9:

The DOE also published a list of fuel discounts available offered by various companies:

Senate energy committee vice-chair Sherwin Gatchalian urged authorities to strictly monitor oil firms and retailers of possible profiteering as oil prices skyrocket due to escalating tensions in the Middle East.

Must Read

Oil shoots higher, shares skid as Middle East conflict drags on

Gatchalian’s office found that pump prices for gasoline skyrocketed 13.7% between January and Wednesday, March 4, while diesel prices jumped 41.4% to P76 per liter from just P54.

“Kaka-announce pa lang ng price increase sa world market pero ang ilang retailers ay nagtataas na agad ng presyo. This is profiteering. Hindi sila pwedeng magtaas agad dahil ang hawak nilang stocks ay nabili sa mas mababang presyo. They should sell at a reasonable price,” Gatchalian said.

(They just announced price increases in the world market but some retailers already raised their prices. This is profiteering. They can’t just raise prices right away because their stocks were purchased at a lower rate. They should sell at a reasonable price.) – Rappler.com