Price-fixing, collusion claims already debunked – oil companies

The Independent Philippine Petroleum Companies Association (IPPCA) scoffed at price-fixing allegations made by Laban Konsyumer Inc. (LKI), arguing that such claims had been debunked.

"Those allegations have been debunked by two independent reviews commissioned by the Department of Energy with noted economists and CPAs," said IPCCA President Fernando Martinez in a Sunday Balitanghali report.

"Best for Laban Konsyumer is to read its findings and if they don't agree, to specifically pinpoint its inaccuracies if ever," added Martinez.

The LKI had claimed that Philippine petroleum industry players had been colluding and were involved in price-fixing given the same price adjustments they implement on a weekly basis.

"Imposible, kasi unang una, ikaw nag-iimport ka ng finished product, ikaw nagre-refine [so] iba na ang overhead mo, iba na ang acquisition cost mo," said LKI president Vic Dimagiba.

"Sa aming paniniwala, may kasunduan," he argued.

LKI has since filed cases before the antitrust watchdog Philippine Competition Commission (PCC) against the supposed cartel of oil companies, as well as the Department of Energy (DOE).

For its part, the DOE said the price-fixing and collusion claims against the 16 oil companies were "baseless."

"We find the complaint of LKI President, Atty. Victorio Mario Dimagiba unmeritorious by accusing the Department of colluding with the oil companies by pointing to the pricing formula posted on the DOE website, as having facilitated said unacceptable illegal activities," the department said in a statement.

"The DOE continues to assure the public that it will not waver in its commitment to protect and uphold the welfare of consumers and that it would always condemn, in the strongest terms, all contrary practices," added the DOE. — Jon Viktor Cabuenas/DVM, GMA News