Saturday, August 07, 2004 Transport groups oppose oil price hikes
THE Pinagkaisang Samahan ng mga Tsuper at Opereytor Nationwide (Piston) and other transport groups said they oppose another round of oil price increase set middle of the month, ranging from 50 to 90 centavos per liter.
Piston president Mar Garvida said the furor over last Sunday's 50 centavo per liter increase for diesel, gasoline and kerosene has barely died down and already the oil cartel is planning another hefty price increase.
"Any and all price increases are unwelcome and unacceptable. We do not buy the recurring lies that the oil cartel keeps on saying. Why is it that when crude and finished petroleum products prices go down abroad, the rule of thumb fails and the prices of local products remain the same, or even go up?" he said.
Garvida said the three big oil companies in the country use a "rule of thumb" for computing local pump prices, which states that pump prices go up anywhere from 26 to 42 centavos per liter for every US$1 price increase per barrel of benchmark Dubai crude, and also increase by 13 to 21-centavo per liter for every P1 decrease of the peso exchange rate against the dollar.
He added that foreign oil companies, encouraged by the peak levels of crude prices abroad, are conditioning the minds of drivers and consumers to expect and accept more price increases, and therefore more super profits for the oil cartel.
"The Department of Energy's ideas jibe with the long-standing support given by the Arroyo regime to the oil cartel. Statements like "a staggered increase is better than a one-shot price increase and we have to make more sacrifices, are all we can expected from the junior partners and mouthpieces of the oil cartel," said Garvida.
Garvida said the drivers reserve the right to launch a drivers' strike against the collusion of oil companies and the Arroyo administration.
Garvida warned that protest actions such as a noise barrage held last Tuesday in Cubao, Quezon City will be frequent and more widespread to prepare the drivers and the public at large for bigger mass actions ahead. JFF
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