Arroyo says oil price increase ‘inescapable,’ calls for sacrifice

President Gloria Macapagal-Arroyo on Sunday said the increase in oil prices is “inescapable" as she called on the public to sacrifice. "I call upon our people to unite and take stock of the inescapable global trend of oil price hikes that lies beyond the control of the government and leave no room for complacency," President Arroyo said. Prices of oil in the world market hit an all-time high at $75 per barrel over the weekend. “National teamwork is needed to avert the pain inflicted upon average Filipinos by the upward pressure on the prices of basic commodities and services," the President said. Mrs. Arroyo called on Congress to review energy-related measures and to pass proposed bills that could lessen the impact of surging oil prices. The President also ordered her Cabinet to conduct an "intensified search" for alternative and renewable sources of energy. She said the government is considering the reduction of tariffs on basic petroleum products even as it undertakes stringent energy conservation programs and belt-tightening measures. A Cabinet committee on tariff-related issues will look into the possible consequence of tariff reduction on prices of petroleum products. The promotion of other sources of energy, such as coco-biodiesel, jatropha carcus, and ethanol will be undertaken, Energy Secretary Raphael Lotilla said. He said the President ordered the production of jatropha, a plant whose seeds can be the source of bio-diesel and is found largely all over the country. Arroyo also ordered the Philippine National Oil Corporation to enter into a joint venture with the military to promote the planting of jatropha. MEETING THE CHALLENGE President Arroyo said the increase in prices of world oil is a result of the US-Iran nuclear standoff and the peace and order problem in Nigeria. "It is imperative for the entire government down to the local level to gather its collective capacity to meet the challenge," the President said. The President expressed thanks to transport groups for calling off the planned metro-wide strike. She did not comment on transport groups’ demand for a P1.50 fare increase. Executive Secretary Eduardo Ermita said the government understands the appeal of the transport sector. "Kailangan talagang mabuhay…(at) talagang tumataas naman ang presyo ng langis," he said. Ermita said the Land Transportation and Franchising Regulatory Board will take care of the fare hike petition of jeepney drivers and operators. WAGE HIKE House Majority Leader Prospero Nograles said the House of Representatives will pass the wage increase measure. He, however, expressed doubt if the House would agree with the proposed P125 minimum wage increase. Nograles said he asked Albay Rep. Joey Salceda to determine the appropriate wage increase. Salceda is chairman of the House committee on appropriations and one of Mrs. Arroyo’s economic advisers. Nograles said Congress can provide a “win-win" solution for workers and the business sector. On Sunday, Flying V increased the price of diesel, gasoline and kerosene products by P0.50 per liter following the lead of major players. Total Corporation announced that it would increase prices of petroleum products starting Monday. Total Corp. and Petron have imposed a P0.50 per kilogram price cut on liquefied petroleum gas. – GMANews.TV