‘Big 3’ asked to reconsider diesel discount withdrawal

President Arroyo appealed yesterday to the country’s top three oil companies’ sense of corporate social responsibility, asking them to reconsider their withdrawal of the discounts on diesel fuel given to public utility jeepneys and buses.

Presidential Spokesman Ignacio Bunye said yesterday the President made this appeal to Pilipinas Shell, Caltex Philippines and Petron Corp. following the oil giants’ decision to scrap the special discount after the fare increases granted to jeepney and bus operators came into effect yesterday.

But after the Land Transportation Franchising and Regulatory Board (LTFRB) granted the increase in minimum fares, leaders of public transport groups also announced their plans to ask for another round of fare hikes now that oil firms would no longer grant them the P1 to P2 discount on diesel fuel.

"The President has appealed to the oil companies to keep the discounts in force as long as possible, and for transport groups to hold their petitions for fare hikes in the meantime," Bunye said.

"Every sector must strive to share in the sacrifices needed to meet the situation, so we can work together to ease the economic pressures on the average Filipino family," he added. "We have to see through this issue in the spirit of collective concern, dialogue, consensus and action."

Energy Secretary Vicente Perez relayed the President’s appeal to the oil firms.

"I think discount(ed) diesel is a voluntary program by private oil companies. We hope they will continue, but again it’s a free market," he said. "It’s the oil companies that initiated that. So we leave it up to them to decide whether they will continue with it or not."

Perez said the discounts on diesel products was a temporary relief measure the government worked out with private gasoline station owners last year to offer diesel products at a discount to jeepneys and buses to avert a public transport strike over the continued rise in gasoline prices while the LTFRB has yet to act on their petitions.

The LTFRB announced last month its approval of the P1.50 fare hike for jeeps and P2 increase for buses.

The President "has also directed strict monitoring and enforcement of student and senior citizen’s fare discounts," Bunye said.