Chatto appeals for conscience From big 3, in Bohol fuel row
Rey Anthony Chiu
TAGBILARAN CITY, Bohol, March 23, 2012 (PIA) – Governor Edgar Chatto appealed for conscience and corporate social responsibility from the three major fuel companies, after a heated forum failed to settle the needed cheaper fuel prices in Bohol.
At the Consultative Forum on Oil Price in Region 7 held at the Bohol Tropics Resort Friday March 23, Chatto swung to an appeal to emotions after attempts to squeeze the truth behind why Bohol’s pump fuel prices are P8.00 more than those of other consumers in the region proved a futile argument.
Before it came however, Chatto hinted that Bohol would consider taking the same trail Cebu took when it filed cases against the big three.
It may be recalled that Cebu Governor Gwendolyn Garcia took on the cudgels for the apparent collusion of the three major fuel companies in their pricing to the detriment of the Cebuano consumers and the industries largely dependent on fuel there.
While nobody could exactly point if the case has something to do with the lowered fuel prices there, Chatto, who heads the Regional Development Council seemed determined to rally the regional council with him.
At the forum, which was attended by representatives of the big three companies: Shell, Caltex-Chevron and Petron, all three representatives invoked effects of global pricing and trends in fuel market economies as the main reasons why pump prices in Bohol significantly differ from that of other major cities.
The three fuel companies basically reiterated what the Department of Energy (DOE) explained through Oil Industry Management Bureau chief, Director Zenaida Monsada presented in the forum.
Director Monsada showed the same presentation the government energy department gives to explain to consumers across the country the nuances of determining fuel prices especially in the deregulated oil industry.
Earlier, DOE also said that competition in Cebu and Manila forced market players to bring down their pump prices, adding that Cebu has about 250 pump stations each outsmarting other companies to rack up on sales.
Bohol, she said has only about 56 stations.
Using the economies of scale which fuel representatives and the DOE used to illustrate their point, Board Member Abeleon Damalerio pointed out however why Ubay, a much smaller town in terms of fuel consumers has a P3.00 price difference when transporting expenses from city depots would be an add-on factor.
On the other hand, Fil-oil, a new industry player in Bohol admitted that they would have to charter barges to bring in fuel from Cebu and the entail a cost of about P3.00 per liter.
Mandy Ochoa, Filoil vice president however said selling his product in Bohol does not make much money for them but hints that the operation could be break-even, considering their continued operation with only two stations here.
At this, most sectors attending the forum somehow realized that determining fuel prices in Tagbilaran City could be for reasons not of the DOE presentation could explain.
“We can not change the global phenomenon,” Chatto intoned, admitting that there are factors that are beyond control.
But sensing there are still hidden factors, of which topnotch lawyer Victor dela Serna accuse the three companies of price fixing, Chatto went the way of pleading.
“If you can do something to cushion the impact, it would be a big help, he plead. (30)
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