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Palace orders DTI: Check artificial oil shortage reports

By Lira Dalangin-Fernandez
INQUIRER.net
First Posted 17:54:00 11/06/2009

Filed Under: Consumer Issues, Oil & Gas - Downstream activities

MANILA, Philippines—Malacañang has ordered the Department of Trade and Industry (DTI) to tighten the noose on gasoline stations, which may be creating artificial shortage of fuel products, even as it stood pat that cap on oil prices in Luzon will stay.

“We are asking the DTI, which has jurisdiction on the issue, to immediately look into this report . . . and exercise its power within the law to protect consumers,” Press Secretary Cerge Remonde said at the Palace’s weekly news briefing, when told that some gasoline stations are no longer selling oil products due to supply shortage.

Remonde also clarified reports that Malacañang will be lifting the cap on oil prices in certain areas as disclosed by Justice Secretary Agnes Devanadera.

He said there was no recommendation yet from the joint task force on energy and from the National Disaster Coordinating Council (NDCC) for the lifting of the price ceiling.

When they spoke on the phone Friday morning, Remonde said Devanadera denied saying that Malacañang was planning to partially lift Executive Order 839 amid pressures from oil companies.

Issued on October 23, EO 839 put a cap on prices of petroleum products based on their October 15 levels in Luzon. This was issued in the aftermath of the storms that devastated parts of Metro Manila and Luzon provinces.

Reports quoting Devanadera had said that the order may soon be lifted in specific areas.

Industry players have complained of an “imminent danger” to the economy, business and employment if the order stays in place.

Remonde asked officials “not go into word war” with the oil companies. He added the government would continue monitoring supply of oil products to ensure that the consumers are protected.



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