Government, oil firms to meet on EO 839
Posted on November 8th, 2009
The big companies were clamoring for the lifting of it, while the Philippine government was adamant in its resolve to keep the Executive Order 839 enforced. EO 839, which was issued by President Arroyo on October 23, freezes fuel prices at October 15 levels.
In line with this, the joint Task Force of the Department of Energy and Department of Justice will meet with oil industry players to assess the two-week impact of EO 839. Expected to attend the meeting are heads and representatives of oil firms, transport groups, and the LPG Marketers Association.
One of the Big 3 oil companies in the Philippines, Pilipinas Shell, even filed a petition for a temporary restraining order (TRO) before the Makati Regional Court to immediately stop the implementation of the order, arguing that it is illegal.
“Executive Order 839 failed to meet certain conditions prescribed under the Philippine Constitution, including the determination of exceptional circumstances warranting the exercise of emergency powers, among others,” Shell vice president for communications, Roberto S. Kanapi said. The company named Executive Secretary Eduardo Ermita and Energy Secretary Angelo Reyes as respondent in its petition.
Many industry players, as well as various business organizations also protested against the price freeze saying that it will cause supply shortage and develop an illegal oil market in the country.
The meeting on the state and the effect of EO 839 will be held today, November 9, 2009.
