Sen. Erwin Tulfo wants end to ‘secret’ oil pricing

SENATOR Erwin Tulfo continues to push for his long-standing advocacy of taming the greed of oil companies as he called for amendments to RA 84679 or the Downstream Oil Industry Deregulation Act of 1998 that would compel oil companies to disclose the actual cost of imported fuel.

In a statement released by his office last May 5 related to his privilege speech on the issue, Tulfo stressed that his call “does not seek to dismantle deregulation per se, nor to interfere with legitimate business operations.”

Rather, Tulfo said the measure, SB 641 that he co-sponsored with Sen. Sherwin Gatchalian, “aims to bolster accountability through enhanced transparency on the pricing scheme of petroleum products in the country.”

Tulfo highlighted public frustration over price volatility, particularly during global crises like the ongoing war in the Middle East between the United States, Israel and Iran. He questioned the disparity between global market shifts and local pump prices.

“We witness consecutive price hikes in gasoline stations, but Filipinos are left in the dark as to how these stations came up with the pricing,” he said.

“When global prices drop, why are local rollbacks so minimal? Are these price adjustments truly reflective of global market trends? Or this is an artificial jacked-up prices to gain more income?” the solon asked further,

SB 641 seeks to “institutionalize” transparency in the pricing of oil products by granting more regulatory power to the Department of Energy (DOE) in compelling oil companies to disclose the “actual cost components” of their imported oil as soon as the per barrel cost of oil hits $80 for three consecutive months based on the price of Dubai crude and the Means Platt of Singapore.

The actual cost components include the purchase price of oil, transport/freight cost, insurance and foreign exchange difference, government levies and taxes, port charges and costs related to refining, storage, handling, marketing and transshipments and “actual costs pertaining to the oil company’s profit.”
Tulfo described SB 641 as a “necessary correction” for the downstream oil industry.

“This is a step toward restoring balance—between free enterprise and public accountability, between profit and protection, and between deregulation and responsible governance,” Tulfo pointed out.

Tulfo has been advocating against the abuses of RA 8479 as a media personality and when he first entered Congress as a parylist representative in 2023 under the 19^th Congress.