‘Unbundled’ fuel retail prices sought

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March 23, 2026 | 12:00am

MANILA, Philippines — Sen. Sherwin Gatchalian is pushing for a measure that will “unbundle” the retail price of petroleum products to expose the true profit margins of oil companies, while backing the imposition of a windfall tax to prevent corporate profiteering amid the global oil crisis.

Gatchalian lamented that the current Oil Deregulation Law has effectively left the government “blind” to how oil companies price their fuel, with inventory costs and profit margins shielded as corporate trade secrets.

“That’s taking advantage of the situation, and we must have visibility into the prices,” he told radio dzBB yesterday, noting that firms could be buying cheap inventory and selling it at massively inflated prices during the crisis.

Gatchalian filed a bill last year, which seeks to force oil companies to itemize the components of their retail prices.

“I call it unbundling. The prices must be unbundled so that the government knows how much they (oil firms) bought (the petroleum products),” he explained.

He likened his proposal to monthly electricity bills, where generation, transmission and distribution charges are transparently listed.

Despite his hardline stance against corporate profiteering, Gatchalian rejected growing calls to fully repeal the Oil Deregulation Law and return the petroleum industry to direct government control, citing the state’s historical inefficiency in running the oil business.

“The private sector is more efficient in running businesses, but in these situations where they could take advantage, the government must have teeth and eyes to prevent such instances,” Gatchalian argued.

Because of the potential for massive profit margins, Gatchalian wants the Philippines to emulate the United Kingdom, which imposed a windfall profit tax on the oil industry.

Wealth tax

Beyond the oil sector, Gatchalian expressed “conceptual support” for proposals from economists to impose a wealth tax on the country’s wealthiest billionaires.

He pointed out the irony in the country’s current tax structure, which is purely income-based.

While he supports taxing the massive assets of the ultra-rich, the senator acknowledged the severe administrative hurdles of drafting such a bill, as the wealthy often use offshore companies and foreign jurisdictions to hide their money.

Meanwhile, citing how the country has reached a critical tipping point, Sen. Bam Aquino is throwing his support behind the declaration of a state of national emergency to combat the soaring prices of basic goods driven by the Middle East oil crisis.

WFH, higher subsidy

Several administration lawmakers have called on the Department of Labor and Employment and private employers to adopt and expand work-from-home and flexible work arrangements to help conserve fuel and protect Filipino workers amid the ongoing global energy crisis.

“The Iran situation is not just a distant conflict – it directly affects our fuel supply and prices. If this conflict drags further, there is a possibility that our fuel reserves will be adversely affected, and workers will be bearing the brunt of these hike in prices of basic commodities,” House labor committee chair and Cavite 1st district Rep. Jolo Revilla said.

Reps. Migz (Camarines Sur 5th district) and Luigi Villafuerte (Camarines Sur 2nd district) called for higher fuel subsidy for fisherfolk, while Abra Rep. JB Bernos urged the government to ensure that farmers have ample protection against rising fuel prices.

Progressive group Bagong Alyansang Makabayan is recommending expanded investments in alternative transport and energy, such as bike lanes and renewable energy systems, and incentives for rooftop solar power and other technologies to lower electricity costs. — Delon Porcalla, Mark Ernest Villeza