THE Palace, concerned over rising fuel prices which may put pressure on rising consumer prices due to the impact of the dry spell, has cautioned against overpricing of the commodity.
Presidential Spokesman Ricardo L. Saludo has issued a call for the Energy department to ensure that oil companies are not overpricing their products to protect consumers from unnecessary rate spikes.
He said that the Department of Energy (DoE) should ensure that hikes made by oil companies will not be excessive and within the bounds of movements in the global market.
Saludo said President Gloria Macapagal-Arroyo wants to see “action coordination” between the Energy department and the oil firms.
Major oil companies raised pump prices by 50 centavos per liter on gasoline, diesel and kerosene on Tuesday – the third time this month – to track higher global prices.
While the impact of El Niño on farm output has not yet resulted in higher food prices, the Bangko Sentral ng Pilipinas earlier said it is continually monitoring developments as the dry spell poses a risk on inflation outlook.
The National Disaster Coordinating Council said in a damage report dated March 13 that the dry spell has cost nearly P8.1 billion. (PIA-Bohol)
