MANILA – Baguio City lone district Representative Mark Go has filed draft amendments to Republic Act No. 8479, the Downstream Oil Industry Deregulation Act of 1998, seeking to empower the Department of Energy (DOE) to set price ceilings and impose maximum rate increases on fuel products during periods of abnormal supply shortages or price spikes. The proposal, highlighted in recent congressional discussions as of December 2025, aims to protect consumers from “unguarded” hikes while addressing regional disparities—particularly Baguio’s historically higher pump prices compared to lowland areas.
Go’s bill introduces key changes to Section 15 of RA 8479, granting the DOE Secretary authority to:
- Fix maximum price increases to safeguard public interest.
- Impose temporary price ceilings when global crude surges or local supply disruptions cause undue hardship.
The congressman has long advocated for such measures, citing Baguio’s persistent P5-P10 per liter premium over neighboring La Union due to transport costs and alleged retailer markups. “Filipinos deserve fair pricing, especially in highland areas where fuel impacts everything from transport to food costs,” Go stated in earlier hearings.
The amendments build on broader House efforts to revise the 27-year-old deregulation law, including unbundling costs, mandating minimum inventories, and creating a DOE-PCC task force for unreasonable hike probes. Go’s push aligns with calls from consumer groups and fellow lawmakers for “responsive” interventions during crises, without fully reverting to pre-1998 controls.
Critics of deregulation argue it has failed to deliver competition, leading to cartel-like pricing. Supporters warn ceilings could deter investments and cause shortages.
As oil prices fluctuate amid global tensions, Go’s draft offers a middle path: Retain market freedom but with government backstops for consumer relief.
Proposed Key Amendment (Excerpt from Draft):
“SEC. 15. Additional Powers of the DOE Secretary… TO SET A PRICE CEILING AND FIX THE MAXIMUM RATE OF INCREASE IN THE PRICES OF FUEL AND OTHER PETROLEUM PRODUCTS TO SAFEGUARD CONSUMER INTEREST DURING ABNORMAL SITUATIONS.”