Big 3 carrying on with overpricing modus operandi – KMU

Labor center Kilusang Mayo Uno condemned the Big 3 oil companies after industry giants Shell and Caltex implemented a price hike today, saying the Big 3 oil cartel is continuing with its modus operandi in overpricing local petroleum products.

Citing price movements in the world market, Shell and Caltex increased the prices of unleaded gasoline by P0.35 per liter, regular gasoline by P0.50 per liter, and kerosene by P0.15 per liter effective 6:00 am today.

The Department of Energy, in response, said the recent international price movement corresponds to a mere P0.18 per liter increase in price of unleaded gasoline.

“We have seen the Big 3’s modus operandi in overpricing local oil products this August and we are revolted. The Big 3 continues to rob the Filipino workers and people of our hard-earned money through overpricing,” said Elmer “Bong” Labog, KMU chairperson.

“The price rollback implemented on the third week of August was smaller than what the price movement in the world market dictate. After a price hike on the fourth week of August, another price hike is implemented this week – which is higher than what global price movements dictate,” he added.

The price rollback on the third week of August was preceded by the DOE’s statement that oil companies should rollback per liter prices by not less than P2.00. The Big 3 instead implemented a less than P2.00 price rollback, which legislators say is way below the P5.00 dictated by the world market.

KMU is calling for an immediate P9.00 rollback in the per liter prices of oil products, which it says corresponds to the Big 3’s accumulated overpricing per liter since January 2008.


Protestang Bayan Laban sa Overpricing at Sabwatan

KMU called on the Filipino workers and people to participate, in various ways, in the “Protestang Bayan Laban sa Overpricing at Sabwatan ng Kartel at Pamahalaan,” which it will hold tomorrow, August 31.

“We have every right to be outraged. Amidst worsening poverty and hunger, the Aquino government, instead of protecting us from the Big 3, is allowing, even conniving with the oil cartel to exploit us through monopoly pricing and local overpricing,” said Labog.


“Tomorrow’s nationwide protest against overpricing and the collusion between the Aquino government and the oil cartel is a ‘big-time kickoff’ for “big-time protests” in the coming weeks,” he added.

“Hundreds from different sectors will hold noise barrage protests in each of the more than 20 protest centers in Metro Manila tomorrow. Transport workers headed by PISTON will hold a transport caravan to the main office of Shell. Transport strikes will be held in the Southern Tagalog and Bicol regions,”said Labog. Elmer “Bong” Labog, KMU Chairperson