Palace to oil firms: Don’t raise prices

Malacañang appealed yesterday to local oil companies to reconsider their plan to raise fuel prices anew amid the current economic crisis.

This developed as presidential chief of staff Renato Corona said the Arroyo administration will not allow any unjustified increase in the prices of gasoline and other oil products.

"It should be justified. Prices can’t just keep going up without justification," Corona said.

He also warned that the government would be on alert against any attempts at price manipulation.

"We are not neophytes because most of our appointees have already served in government. We are aware of everything that’s going on," Corona added.

He said the oil companies, although allowed to adjust prices, should not only think in terms of profits, but also the people’s welfare.

"On one hand, we say they should justify any oil price hike. On the other hand, they should consider the national welfare," Corona said.

"We have such a thing as survival. They could have big profits, but what if the economy slows down. In the end, we will all be the losers. I think there has to be a clear balancing of interest."

Corona also said President Arroyo may order a review of the oil deregulation law. "She is open to many recommendations." – Liberty Dones