Pimentel asks govt to explain diesel price discrepancies

MANILA, Philippines — Senate Minority Leader Aquilino Pimentel Jr. on Tuesday asked government agencies to explain the discrepancy in the prices of diesel from the same oil companies even if the gasoline stations are located only a few meters apart. In a privilege speech, Pimentel his office compiled the prices of diesel in Metro Manila, Bulacan, Cavite and Negros Oriental and found that the prices vary even if it is supplied by the same oil company. He cited that the price of diesel in Chevron located at Wilson Street in Greenhills, San Juan is P25.15 while the same product sold at Chevron in Club Filipino avenue, also in Greenhills, San Juan costs 25.50 or a variance of P0.35. The two gasoline stations are only 150 meters apart. The senator said the difference in the pump prices of diesel fuel at various suppliers, between a gas station supplied by Petron and another gas station supplied by Shell, for example, may be understood as probably determined by competitive market forces. “But what of the variance between the pump prices of diesel fuel in two gas stations supplied by the same oil distributor? How does one explain it especially if they are located a few meters from each other?" Pimentel said. “Does it not bother the Energy Department or the Energy Regulatory Board that these price distortions occur?" the senator asked. He also found it unacceptable that the price of diesel in a gas station in Dimasalang, (Petron P26.75) in Sampaloc, Manila is more expensive than the price of same commodity being sold in Philcoa, Quezon City (Petron P25.75) when there is an oil distillery in Sampaloc. “I suggest the institutions of government which were created to safeguard the people from price gouging or some such deleterious practices need to do their job or at the very least explain to the people why these price differences happen; what they can do about them, and if nothing, at the very least tell the people the reasons for their inability to do so," Pimentel said. - Amita Legaspi, GMANews.TV