Govt to punish profiteers as oil price hikes loom

The prospect of new fuel price hikes due to tensions in oil-producing countries in the Middle East and North Africa has prompted government to convene an inter-agency task force on how to deal against profiteers. The Department of Energy (DOE)-Department of Justice (DOJ) Task Force will monitor fuel prices and check for overpricing, then file appropriate charges against those found taking advantage of the situation, Energy Undersecretary Zenaida Monsada said Wednesday. "Siguro by early March iko-convene 'yan para ma-address ito (Maybe this will be convened by early March to address this)," Monsada said in an interview on radio dzBB. Fuel prices are likely to go up with the violence and social and political unrest the Middle East and North Africa continues, Monsada said. The social strife in Libya will not likely affect oil supply to the Philippines, but speculations brought about by the "fear factor" may drive global prices up, according to the undersecretary. "We do not expect problems with fuel supply because we do not import oil from countries affected by ongoing violent protests," she said, adding that prices may go up because of "speculations about what will happen." Asked until when prices are likely to go up, she said, the threat of fuel price hikes will stay "as long as there is violence and there is no clear scenario on how it will go," Monsada said. "The fear now is that the violence may spill over [to other oil producing countries]," she added. Due to speculations, she said, Tuesday's crude oil prices in Dubai already climbed beyond $100 a barrel, the highest since oil prices started to drop from their 2008 highs. — LBG/VS, GMA News