00:00It didn't even take a week following the eruption of the conflict in the Middle East
00:04when oil companies immediately started the non-stop increase of oil prices in the country.
00:10But many of us left questioning if we have enough oil supply and buffer in the country,
00:14why did the prices jump so quickly?
00:17This was asked during a heated hearing of ProTech Ad Hoc Committee yesterday.
00:21The Energy Department's explanation in our Luisa Erisbe report.
00:27Tensions flared during yesterday's Senate Protect Ad Hoc Committee hearing
00:32as lawmakers grilled energy officials over aggressive fuel price hikes amid the ongoing global crisis.
00:40Senator Rodante Marcoleta questioned why domestic pump prices skyrocketed over the last two weeks
00:46despite the country holding more than a month's worth of gasoline and diesel in its current inventory.
00:51The Department of Energy or DOE revealed that oil companies immediately apply replacement cost to their pricing.
00:59This means consumers are bearing the burden of projected price hikes before the companies have even purchased new stock,
01:06effectively financing the next round of imports.
01:09Nandun pa yung inventaryo.
01:12Yes? Okay.
01:14Pero after two weeks, 110 na nga ang ginamit eh.
01:18So inventaryo pa rin ang ginamit.
01:20How did you justify that?
01:23Yung binenta kasi na yun will have to be replaced right after next week.
01:28So, kinulekta ho yung amount.
01:31So, ang nangyari, ang nangyari, ang nag-finance ang taong bayan.
01:35That's the way...
01:36Ulitin mo yung sinabi mo.
01:37So...
01:37Ulitin mo yung sinabi mo.
01:39Yes, it's really...
01:40Hindi yung exactly.
01:41It's passed on to...
01:42The hearing highlighted the government's current inability to intervene in pricing due to the existing oil deregulation law.
01:49In response, transport groups are now demanding refunds, arguing that the recent price spikes constitute overcharging on old stock.
01:58Malinaw dun sa inventaryo pa lang nila yung itinaas nila, ayon dun sa pag-uusap po.
02:05Ibig sabihin, overpriced yung dalawa hanggang tatlong linggo na ibinenta sa aming Puel.
02:13I-repund nila yung 100 to 120 percent na itinaas dito kung inventaryo pa yung ibinibenta.
02:20Committee Chair Sen. Sherwin Gatchalian revealed that the Senate is now exploring the implementation of a windfall tax.
02:27This mechanism would target oil companies earning excessive profits during the crisis.
02:33Kung nakita ng gobyerno na labis-labis, sobra-sobra, doon tayo pwede magpasok ng windfall tax.
02:40Yan ang nakikita kong mekanismo.
02:42Gatchalian noted that the recently signed law suspending excise taxes provides a critical advantage.
02:48It obligates oil companies to submit transparent data on their actual purchase costs versus their selling prices.
02:56Doon sa bagong batas na sususpend yung excise tax, mayroong kaming pinasok na provision doon na magsasubmit ang oil companies
03:03ng kanilang cost.
03:06So dito natin makikita ngayon.
03:07Furthermore, under the Philippine Competition Act, companies could face severe penalties for anti-competitive behavior, including hoarding and profiteering.
03:16The DOE pledged to hold both oil companies and traders accountable if they are found to be exploiting the Middle
03:23East tensions.
03:25Department of Energy, despite these limitations, will really go the extra mile.
03:29Give us the go signal, we'll do it.
03:31Luisa Erispe from the National TV Network for a new and better Philippines.
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