Deregulation Allows Oil Companies to Profit Over Middle East Crisis

“The Oil Deregulation Law has long been the culprit of uncontrolled and unjustified oil price increases. Now that there are political upheavals in the Middle East, these oil companies are wasting no time in taking advantage of the situation.”This was the statement issued today by Gabriela Women’s Party Representative Luz Ilagan as she renewed calls for the repeal of the oil deregulation law as oil companies implemented yet another round of price increases, the second since protests in Libya heated up in February. Yesterday, the price of diesel and gasoline increased by Php 1.25 and Php 1.00 respectively.

According to Ilagan, “Yet again, here is proof of the oil deregulation law’s failure to protect consumers. Most of these oil companies are selling their petroleum products at high prices even though they were able to purchase stocks way before the crisis in Libya erupted. Wala talagang mga konsensya. Itinataas na nila ang presyo gayong ang kalakhan ng mga binebenta nila ngayon ay nabili pa nila noong nakaraang buwan sa mas mababang halaga.”

“For 13 years now, the Philippine government remains toothless in curbing the greed of oil companies because it still refuses to repeal or even amend the oil deregulation law.”

Gabriela Women’s Party Reps. Ilagan and Emmi De Jesus have filed House Resolution 880 "Directing the House of Representatives Committee on Energy to investigate the price monitoring and regulatory system instituted by the Department of Energy in the light of allegations of overpricing by oil companies and recommend the creation of mechanisms to protect consumers against the ill effects of oil price increases and the immediate repeal of the Downstream Oil Industry Deregulation Act (RA 8479)"