The Department of Energy (DOE) confirmed that the government will set minimum rollbacks and maximum price increases for petroleum products while the State of National Energy Emergency remains in effect.
DOE Secretary Sharon Garin said the government has the authority under Executive Order No. 110 to directly impose or limit movements in oil prices, including those charged at gasoline stations.
This means oil companies are required to follow the price adjustments set by the government, whether these involve rollbacks or increases, based on calculations made by the DOE.
The agency warned that companies that fail to comply with the mandated adjustments may receive show cause orders requiring them to explain their actions.
Failure to provide sufficient justification could also affect their operating permits, according to the DOE.
Aside from administrative sanctions, violators may also face criminal penalties under the Oil Deregulation Law. These penalties include imprisonment ranging from three months to one year and fines from P50,000 to P300,000.
The DOE explained that the measure falls under the government’s police power, which is intended to prevent profiteering and hoarding of oil products during the ongoing energy emergency.
Officials said the move is designed to ensure that oil price movements remain regulated and consistent with government calculations while addressing concerns about possible abuses in the petroleum market.
