DOE-7: No fuel shortage in Cebu

CEBU, Philippines - Despite reports of shortage of fuel in some areas in Luzon, the Department of Energy in Region VII has assured consumers that the same is not the case in Cebu.

This has raised more questions about the truth behind the claims of top officials and fuel companies about the supply situation in the country.

DOE regional director Antonio Labios said that “there is no fuel shortage here,” amidst claims of militant organizations that the shortage in Luzon is just “staged” by the oil companies to pressure government to lift the price freeze on fuel products.

Nick Igot, the spokesman of Anakpawis, a militant group said, “Wala gyud mi nakamatikod nga adunay fuel shortage dinhi sa Cebu. Para namo, usa ra na ka gimmick sa oil company ang oil shortage para tangtangon sa gobyerno ang price freeze sa oil.”

Igot however said that they have foreseen that the government will just lift the price freeze because of the Oil Deregulation Law that empowers oil companies to set their fuel prices.

“Mas napadali sa mga oil companies ang pagpugos sa gobyerno nga tangtangon ang price freeze gumikan sa gimmick nga fuel shortage,” Igot added.

Earlier, The transport sector here expressed alarm over the recent pronouncement made by DOE secretary Angelo Reyes and oil companies that the country may run out of fuel if the president would not lift Executive Order 839, which froze the prices of fuel products to help those affected by the calamities in Luzon.

Benjamin Ryan Yu, chairman of Ceu Integrated Transport Services Cooperative, the biggest transport company in Cebu that has around 800 jeepneys and 200 taxis operating, has expressed alarm over the issue on fuel shortage as according to him their will be no land transportation as well as sea transportation.

CITRASCO alone consumes about 16,000 liters of fuel daily.

Yu, who is also the vice president for Visayas of 1-United Transport Koalisyon or 1-UTAK already wrote a letter to President Gloria Arroyo to come up with contingency measures before the country will plunge into a fuel shortage.

He said that controlling the fuel prices in general is good for the consuming public, but the government should closely look on the best solution to the problem considering that oil companies have already threatened not to import fuel as it is no longer profitable for them to do so.

Yu said that 1-UTAK itself is not for the scrapping of EO 839 but instead they suggested to the government to have a back up supply should the oil companies make good of its threat.

President Arroyo issued the EO 839, which mandated the price freeze on petroleum products at the October 15 levels in Luzon following the damage wrought about storms in the area. It was lifted last Monday.

Although oil prices in Luzon were frozen in compliance with the said EO, oil prices in Visayas and Mindanao areas moved according to price changes in the world market.

These areas are not covered by the said EO, hence the true costs of the products based on the international price movements are reflected. – Mitchelle L. Palaubsanon   (FREEMAN NEWS)