Urban poor group slams Pilipinas Shell, says twice a week oil price hike is too much of profiteering

RELEASE l September 9, 2011

QUEZON CITY, Philippines—Urban poor group Kalipunan ng Damayang Mahihirap storm a Shell gasoline station today in QC after Pilipinas Shell Petroleum announced on Tuesday that it would adjust the prices of its petroleum products twice a week to immediately reflect changes in fuel prices in the world market and in foreign exchange. Shell raised its gasoline prices by 70 centavos per liter effective today. Diesel and kerosene prices are also up by 25 centavos per liter.

“This action is too much of profiteering by the oil cartel,” according to Carlito Badion, Kadamay national vice chair. “It is but an insult to those who are critical of the cartel’s overpricing scheme.”

Meanwhile, Malacañang admitted it was helpless in the face of the steady increase, saying the nation’s only option at the moment is to “follow the market forces.”

“We really don’t expect Malacanang to say otherwise. When in fact Malacanang can do something to control the market force. PNoy is just choosing whom he should side with,” Badion adds. “He would soon face the consequence of his choice and action.”

As an answer, transport groups have recently united to announce its plan of a big transport strike to protest the unabated oil price hikes including the overpricing done by the Big 3 oil cartels.

“The urban poor sector suffers most from this overpricing and price hikes, including the drivers and small operators. A single centavo increase in the price of oil is a big deduction to the income of the drivers, and to the small wage of ordinary citizens, who can barely make ends meet because of the backlash of increase in the price of basic commodities,” according to Badion.

If Malacanang cannot address the abuses of the oil cartel, then he doesn’t deserve to be in his office. We don’t need a president who doesn’t feel the suffering of his people,” Badion adds.

Instead of acting helpless on the issue of oil overpricing and price hikes, Malacanang should instead act on the abolition of Oil Deregulation Law and the nationalization of the oil industry.

REFERENCE: Carlito Badion, Kadamay National Vice Chairperson (09393873736)