Tuesday, August 18, 2009

Are gasoline and diesel prices at the pump overpriced?

Last year when the price of oil in the world market was at 147$ per barrel, the gasoline retails at 59 pesos per liter. Today, the price of oil in the international market is around $70 per barrel, or less than half of what it was last year. simple math, is the price per liter at the pump 30 pesos?

It is not!

Joe Concepcion, Neda and Recto had asserted that gasoline pump prices in the country is P8 a liter higher than they should be. If true, (it seems it is) then the oil companies have been making undue profits at the expense of the Filipino consumers.

What's your take on this?

Is there a cartel in the local market? Are the retailers colluding among themselves to rip off the the Filipino consumers?

Your guess is as good as mine.

I am wondering about the role of Energy Secretary Angelo Reyes on all these.