Gas price hike report baseless, says Lotilla

Energy Secretary Raphael Lotilla belied reports yesterday that domestic oil prices would go up by as much as P4 per liter in the next few days because of volatility in international crude prices.

Interviewed by reporters at Malacanang during the symbolic switch on of electrical power for 39,955 barangays, Lotilla described the report as baseless and alarmist.

"I don’t know where such alarmist news came from but I think we can assure our people that there is no basis to the report that this weekend there will be a P3 or P4 increase," Lotilla said.

Reports quoting an oil industry official stated that the oil companies have been keeping their prices steady for the past weeks despite huge under-recoveries.

According to the official, based on current oil prices using the Mean of Platts Singapore (MOPS), domestic gasoline prices should have increased by P4 per liter while diesel prices should have been jacked up by P3 per liter.

Lotilla explained that the government relies on the notification of the oil companies about price increases and so far they have not yet received any.

"I must say that this is the first time I’ve heard that there’ll be such an increase next weekend and we only rely on the notification that is given to us by the oil companies," Lotilla said.