BACOLOD CITY, Philippines — The three new depots to be constructed in BREDCO port in this city is expected to help solve fuel disparity in Negros Occidental by lowering the prices of fuel by about P3 per liter, Governor Alfredo Marañon Jr. said.
The governor added this will change the way fuel prices are being decided by the "Big 3 players" in this city, as they are the only ones with depots here at present.
The small players would have lower overhead costs, which translates to lower prices of fuel, he said.
The Department of Energy earlier cited the lack of fuel depots in the province as one of the reasons fuel products are more expensive here compared to other provinces.
Petroleum products are sold P5 per liter higher in Bacolod than in other cities and provinces, including the National Capital Region.
The three depots to be constructed in BREDCO (Bacolod Real Estate Development Corp.) are those of Phoenix Petroleum Philippines, PhilOil, and SeaOil, reports said.
Phoenix is now constructing its depot in a one-hectare lot inside the reclamation area, and the project is expected to be completed in November this year. Phoenix already has an existing gasoline station inside the reclamation area.
PhilOil, meanwhile, has already purchased a one-half-hectare lot from Top Harbor International Inc. and the investor has also confirmed that they are building a depot in the area within this year, reports added.
SeaOil, for its part, is reportedly negotiating for the purchase of a 7,000-square-meter lot also at the reclamation area for a depot.
The three companies are reportedly eyeing depots with a capacity of 5,000,000 liters each. They will transport their products, imported from Taiwan and Singapore, directly to their depots in the city. — THE FREEMAN