Fuel plan promised

Aquino wants assistance package ready when he meets transport groups

MANILA, Philippines — President Benigno S. Aquino III will meet with transport groups once the package of assistance being prepared by the government to ease the effects of soaring fuel prices is completed.

Deputy Presidential spokesperson Abigail Valte said Saturday the President wants to have a concrete plan of assistance to present when he sits with transport leaders.

"The President mentioned that he expects the completion (of the package) hopefully by Wednesday. So let us see because what we want is that before the President meets the transport groups, we will already have the package," Valte said in an interview on government radio dzRB.

Transport operators had flayed Malacañang for what they insist is its failure to address the transport industry’s festering problems. They have long complained about “cartelized” fuel prices, government inaction against “colorum” vehicles, extorting policemen and traffic enforcers, and conflicting rules on ticketing traffic violators.

Some transport groups have threatened to go on strike to prod the government into action.

Valte said Transportation Secretary Manuel Roxas II has already consulted transport leaders on what forms of assistance the government can give them.

President Aquino has directed the Cabinet economic cluster to study the effects of the series of oil price increases on prime commodities and how they can be mitigated.

The enhanced assistance package for the transport sector will reportedly include more efficient coverage of beneficiaries for the government’s fuel assistance program, and retooling diesel jeepneys so they can run on liquefied petroleum gas (LPG).

Energy Secretary Jose Rene Almendras has misgiving about the government’s "Pantawid” Pasada fuel assistance program, saying it is not sustainable and directed only at cushioning the impact of oil price hikes.

After a string of price increases since the start of this year, two independent oil players Saturday announced the first price rollback for 2012.

Flying V Philippines said it will slash the per-liter price of gasoline by 25 centavos and diesel by 80 centavos beginning 12:01 a.m. Sunday.

Eastern Petroleum Philippine will reduce premium and unleaded gasoline by 20 centavos per liter, regular gasoline by 40 centavos and diesel by 80 centavos.

Other oil companies have not announced any price changes up until early last night but it is expected that they too will cut prices.

There have been four fuel price hikes so far this month, with diesel rising by P2.70 per liter, unleaded gas by P3.20 and regular gas by P2.60.

Last year, there was a net increase of P4.78 per liter for gasoline and P6.39 per liter for diesel.

The Department of Energy (DoE) had predicted local fuel prices to go down this week.

Fernando Martinez, chairman of the Independent Philippine Petroleum Companies Association (IPPCA) and chief executive officer (CEO) of Eastern Petroleum, said last week that he sees international market prices softening by February through March.