Oil firms questioned for ‘unusual’ price cuts

  • Page Views 1800
  • GASOLINE COST IN MINDANAO DECLINED BY P3/LITER

    The Department of Energy (DOE) has asked oil players in Mindanao to explain the unusually huge reduction in their gasoline prices, warning this may eventually qualify them for “anticompetitive behavior.”

    The DOE was referring to the move by some oil companies in Mindanao to slash gasoline prices by a huge P3 a liter for the period covering Aug. 30 to Sept. 6. This was based on monitoring by the DOE’s field office in Mindanao.

    “While price rollbacks like this are a welcome development for the consumers, the DOE cautioned that sudden and sustained huge decreases in oil prices might qualify as ‘anticompetitive behavior’ under the Oil Deregulation Law. This market behavior puts both smaller oil players and consumers at a disadvantageous position in the long run,” the DOE said.

    It said smaller oil firms could end up losing their market shares and subsequently fold up. “[Thus] remaining oil players may have the chance to dictate prices to the detriment of the consuming public.”

    The DOE is planning to reconvene the DOE-Department of Justice (DOJ) Task Force to look into possible violations of the law.

    It also assured consumers it would remain vigilant in ensuring the protection of their welfare.

    According to the DOE, the huge price cut also brought to light related concerns in the downstream oil industry in Mindanao. These included the reported peddling of petroleum products using “bote-bote” (bottled oil products) and the alleged smuggling from nearby countries.

    The DOE assured that its Mindanao field office has started coordinating with the local government units (LGUs) concerned and the Bureau of Fire to eliminate the “bote-bote” scheme and discourage consumers from patronizing such activity as this may endager public safety and health.

    The DOE added it was also in talks with the Bureau of Customs, stressing that smuggling would hurt not only the oil industry players, but also the economies of LGUs in Mindanao due to lost revenues. (Amy R. Remo, Inq)

    Share

    New Posts Recently publish post More

    • 13 October 2018
      3 days ago No comment

      “Walang Unli-Rice: A GMA News and Public Affairs Special” airs on GMA Pinoy TV

      GMA Pinoy TV, joins Jessica Soho—widely regarded as the country’s most credible broadcast journalist—together with award-winning documentarists Kara David, Maki Pulido, and Atom Araullo as they present and seek answers to one of the most pressing issues of today in “Walang Unli-Rice: A GMA News and Public Affairs Special”. ...

    • 13 October 2018
      3 days ago No comment

      Venom (PG)

      Big business and mad scientists go hand in hand. At least they do when it comes to the movies. Sony Pictures and Marvel Comics unleash a new kind of super hero in Venom. Aimed squarely at those geeky comic book aficionados check out this violent thriller at Cineplex Cinemas ...

    • 11 October 2018
      5 days ago No comment

      Amid job loss scare, Palace certifies endo bill urgent

      Amid fears of job losses due to the second package of tax reform, government is stepping up efforts to give security of tenure to workers by ending contractualization. According to presidential spokesman Harry Roque, President Duterte in a Sept. 21 letter to Senate President Vicente Sotto III certified as ...

    • 11 October 2018
      5 days ago No comment

      LP names first 3 bets for senator

      THE opposition Liberal Party (LP) yesterday officially announced the first three of its 12 senatorial candidates for the 2019 mid-term elections. They are Sen. Paolo Benigno “Bam” Aquino IV; former Deputy Speaker Lorenzo “Erin” Tañada III; and De La Salle University College of Law Dean Jose Manuel “Chel” Diokno. ...

    • 07 October 2018
      1 week ago No comment

      Nervous Translation (PG)

      Altered State! Being a child is difficult at the best of times. Take a young girl out of her environment and there’s no telling what may happen. Lucky audiences who take in Nervous Translation will be transformed by a mesmerizing low-key performance from its lead who provides a fulfilling ...

    %d bloggers like this: