Oil firms hike LPG prices

MANILA, Philippines - Oil firms raised prices of liquefied petroleum gas (LPG) for household and automotive use effective yesterday.

Petron Corp. and Isla LPG implemented an increase of P6 per kilogram or P66 per 11-kg cylinder of LPG, exclusive of value-added tax.

Petron also marked up prices of auto LPG by P3.76 per liter.

LPG prices are adjusted on a monthly basis depending on international contract prices.

The Department of Energy (DOE) earlier warned of higher oil prices this month due to continued geopolitical tensions in the Middle East.

Last month, Petron, Isla LPG and Total increased prices of cooking gas by P7 per kg or P77 per 11-kg tank.

Under the Downstream Oil Industry Deregulation Act of 1998, oil companies can price their products based on market forces so as to encourage competition.

The deregulation law prohibits the government from intervening or influencing the pricing schemes of the companies.

The Kabataan party-list group, however, yesterday slammed the increase in LPG prices.

“What are the President and his men doing about the continuing fluctuations in LPG prices,”the group’s spokesperson Vencer Crisostomo said in a statement.

“A P6 increase is not an easy thing, especially for the majority of Filipinos who can hardly get by. Does this administration want the Filipino people to suffer?”he added.

Crisostomo said the Aquino administration should find ways to stop oil price increases. – With Sandy Araneta

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