Former National Economic and Development Authority chief Ralph Recto yesterday said government should prevent oil firms from making consumers in the Visayas and Mindanao bear the brunt of the temporary freeze in oil prices in the calamity-hit areas of Luzon.

President Gloria Macapagal-Arroyo recently signed Executive Order 839, imposing a ceiling on fuel prices in Luzon because of the recent calamities.

A price freeze that was initially imposed on basic commodities nationwide following the typhoons that hit Luzon has also been lifted in non-calamity hit areas such as Negros Occidental, Trade and Industry provincial head Rebecca Rascon said.

The United Negros Drivers Operators Center yesterday joined the call of the Pinagkaisang Samahan ng mga Tsuper at Operators Nationwide or United Organizations of Drivers and Operators Nationwide (PISTON) for a nationwide freeze in fuel prices.

“We are calling for a uniform diesel price of P28 per liter nationwide,” UNDOC secretary general Jesse Ortega said, noting that in Bacolod as of yesterday it was P35.50 or a price difference of P7.50.

Elizabeth Katalbas, president of the Federation of Bacolod City Drivers Associations, said they are awaiting a summit called by Energy Secretary Angelo Reyes on Nov. 3 to see what actions government will take.

Recto told the DAILY STAR opposition should be raised against the oil price disparity so government will act on the matter.

Even before typhoons Ondoy and Pepeng struck Luzon, fuel prices in places like Bacolod , Cebu , Tacloban and Cagayan de Oro were already higher than in Metro Manila, he pointed out.

Now with a variation of cross-subsidy schemes the difference between prices in Metro Manila and the Visayas and Mindanao has worsened, Recto said.

“This variation of a cross-subsidy is unfair to areas which are economically less prosperous than Metro Manila,” Recto said.

A fisherman in the Visayas has the right to complain if the gas for his banca is more expensive than the gas a Makati resident loads on his SUV, Rectos pointed out.

The price freeze in Luzon should not be used as a scapegoat to raise the prices in the Visayas and Mindanao , they are not cost recovery markets, he said.

Recto also noted that increases made by major oil players are similar indicating price fixing or collusion.

The Oil Deregulation Law needs to be amended to address this problem, he said.

He said government should buy back Petron so that the people will have a fair option for their fuel needs.*CPG

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