Senators warn vs premature fuel price hikes
Gasoline stations and oil companies must be held accountable for profiteering if they raise prices ahead of scheduled adjustments, Senate President Pro Tempore Panfilo Lacson and Sen. Sherwin Gatchalian said on Sunday.
They made the remarks in separate statements following reports of increased fuel prices in some gasoline establishments shortly after the surge in costs of petroleum products in the world market.
“A price increase has just been announced in the world market but some retailers are already raising prices. This is profiteering. They cannot raise prices immediately because the stocks they hold were bought at a lower price. They should sell at a reasonable price,” said Gatchalian, vice chair of the Senate committee on energy.
President Marcos earlier said the country has an oil stockpile enough for another 50 to 60 days.
In a separate statement, Lacson pointed out that raising fuel prices prematurely is a violation of Republic Act No. 8479, or the Downstream Oil Industry Deregulation Act of 1998; and Republic Act No. 7394, or the Consumer Act of the Philippines.
He urged the public to report establishments that violate the law to the Philippine National Police and local government units (LGUs).
“Amid reports that some gasoline stations have already increased prices, they must be reported to authorities. Here’s why – Raising prices ahead of schedule or hoarding fuel may be liable for: 1) Hoarding & Profiteering – RA 8479; and 2) Unfair or deceptive sales practice – RA 7394,” Lacson wrote in a social media post.
Energy Secretary Sharon Garin has asked the PNP and LGUs to “ensure swift action against violators” of suspected hoarding, refusal to sell, price manipulation and profiteering.
The looming price increases on petroleum products and crude oil are prompted by the conflict in the Middle East after the United States and Israel jointly attacked Iran on Feb. 28.
In retaliation, Iran has been targeting not only Israel but American bases in the Gulf region, a major source of petroleum.
Iran and its neighboring countries surrounding the Persian Gulf are among the top producers of oil in the world, while the major trading route for the petroleum products, the Strait of Hormuz, has been ordered closed by Iran.
