Manila: A Senate investigation may be initiated if local pump prices fail to reflect the recent decline in global oil prices, Senator Sherwin Gatchalian said Thursday as concerns mount over possible discrepancies in fuel pricing. Gatchalian, who chairs the Senate Proactive Response and Oversight for Timely and Effective Crisis Strategy (PROTECT) Committee, stated that authorities are closely monitoring the movement of domestic fuel prices following a reported drop in global crude oil prices, warning that inaction could prompt congressional scrutiny.

According to Philippines News Agency, Gatchalian pointed out the so-called rocket and feather effect, where prices rise quickly but fall gradually, raising questions about whether oil companies are fairly passing on price reductions to consumers. He emphasized the need for the Department of Energy to ensure that fuel price adjustments align with global trends, suggesting that penalties may be imposed if companies do not comply. 'Kapag hindi bumaba, dapat parusahan. Iimbestigahan namin ito (If prices do not go down, there should be penalties. We will investigate this),' he said.

Gatchalian noted that while global oil prices reportedly dropped from more than USD110 per barrel to about USD93 per barrel following easing geopolitical tensions, the impact has yet to be fully felt in local pump prices. He highlighted the necessity for stricter oversight under the current framework, explaining that limitations in the oil deregulation law have constrained the government's visibility into pricing structures.

To address this, Gatchalian has filed a measure seeking to restore government authority to review and monitor fuel pricing components. He mentioned that the declaration of a national energy emergency grants the executive branch broader powers to intervene if necessary, including measures to ensure fair pricing in the domestic market.