TABUK CITY, Kalinga – A team from the Department
of Energy (DOE) that came to verify complaints that gasoline prices here
are higher by P10.00 than in nearby Cagayan Valley found the
information to be true.
Donnie Manduriao, senior science specialist, who headed the team
tasked by the Oil Industry Management Bureau of the DOE to monitor
the prices in this province as against those in the Cagayan Valley said
they were dumfounded that the prices in the latter are P5.00 less than
the prevailing prices in Metro Manila.
He said that the average prices of premium and unleaded gasoline
in Isabela are P50.00 and P56.00 per liter, respectively, while those
in Metro Manila are P55.00 and P57.00, respectively.
The team also found that with one exception, the prices of
products in the eight gasoline stations in this city are more or less
uniform as follows: diesel – P45.55; premium – P61.38; unleaded –
P60.65; regular – P56.67; and kerosene – P52.32.
The exemption is the price of super gasoline at the Shell
gasoline station in Bulanao Norte which is P58.90 or P2.48 lower than in
the other gasoline stations.
Based on their observation and available information, Manduriao
stated that the prices in Kalinga is the prevailing price based on the
suggested retail prices of the three major oil companies as it is more
or less in the same level as the prevailing prices in many parts of
Luzon.
He explained that it is the prices in the Cagayan Valley which
are abnormal at this time due to a price war among the gasoline dealers
there.
During their audience with Vice Mayor Darwin Estranero, Maduriao
said that it is possible that the gasoline station in Tuguegarao City
which owered the prices is being subsidized by its supplier.
He further said that since the oil industry has been deregulated,
the prices of oil products can no longer be controlled as under the
law, the oil companies have the rigtht to set their prices.
He said that the only time when the government can step in is
when a gasoline dealer commits predatory pricing which is selling at
either too low or too high as compared to the prevailing prices.
He explained that it is the joint task force of the DOE and the
Depaortment of Justice which could sanction an erring dealer after due
investigation adding that the penalty ranges from P500,000.00 to P1M.
As for the current situation, Manduriao said that what the team
can do is to submit its findings to the Oil Industry Management
Bureau for its action even as he advised that the LGU plead with the
local gasoline stations to be more considerate to the public. .
Meantime, Judith Apil, owner of the Damagen Gasoline Station in
Bulanao, scored the presence of illegal gasoline retailers saying that
people who want to enter the gasoline business should undergo the
process and comply with all the requirements.
She also pointed out that retailing gasoline in bottles and
supplying those who do is prohibited by law and furthermore, it is not
safe due to the exposure of the fuel.
Christine Wangdali, owner of the Petron in Dagupan Centro, echoed
the concern of Apil saying that people who go into the business should
have the intention of providing honest to goodness service to the
public.
She revealed that the minimum investment for putting up a
gasoline station is P22M as against the prevailing gross mark up per
liter of P1.10 to P1.15 and maximum net per liter of P0.50.
She lamented the perception of the public that gasoline dealers
are making a killing because it is only in volume that they recoup their
capital.
As for the possibility of reducing prices in the locality,
Wangdali said that she has already sent her report to the Petron sales
representative and the national office but that the process is not
going to be easy.
She believes that the abnormal situation is temporary and that soon, the prices will stabilize.
In defense of the illegal gasoline retailers of which there are
already four in the city, a farmer asked which is much better- the
illegal retailer who sells at a low price or the legal dealer who sells
at steep prices?
