The Department of Energy (DOE) admitted that it is helpless when it comes to taming price spikes at petroleum pumps because there is nothing the government or the country can do in influencing upswings in international oil prices.
“While the department assures the public that the country's oil supply remains sufficient, the DOE cautions against the inevitability of domestic price spikes, which continue to reflect upward global market movements,” the agency stressed.
Energy Secretary Alfonso G. Cusi indicated “it is really unfortunate that the impact of the Russia-Ukraine crisis is felt globally. This is why we would like to earnestly appeal to everyone to integrate energy efficiency and conservation into our daily lives to help manage costs.”
The. department already hints of another round of oil price hikes next week that could further erode the purchasing power of consumers – at the retail gas pumps and the spiraling effect of rising fuel prices on basic commodities.
“The DOE is issuing this advisory to warn the public against the impending increase in the price of petroleum products which would take effect next week amid the ongoing Russia-Ukraine conflict,” the agency noted.
For now, Cusi said “the DOE is closely monitoring global oil supply and price movements, in coordination with our downstream oil industry players.”
He further asserted “we are working to exhaust all measures that would help uphold consumer welfare during this challenging period.”
In recent months when media queries were raised to the DOE on why the oil companies have been implementing higher-than-calculated price hikes, the department emphasized that its policing power cannot do much to apprehend oil firms on their questionable pricing adjustments.
It is not only the motorists that are affected by high fuel prices, but also the manufacturing facilities and other industries relying on oil to power their operations.
Additionally, exorbitant oil prices have domino effect on the cost of services – such as in transport, including in the movement of goods, hence, the fuel cost uptrends also affect prices of commodities.
The Philippines is highly dependent on oil imports in fueling its economy because it does not have commercially-viable indigenous resources to plug the country’s growing oil requirements.