A Senate bill has been filed mandating that petroleum companies disclose the breakdown of their expenses, from costs of crude oil, freight, taxes, and profits, to curb the “unexplained” persistent spike in oil prices.

Senate Bill 2007, filed by Senator Imee Marcos, seeks to impose a mandatory unbundling and disclosure of petroleum prices by requiring firms to provide the Department of Energy a clear and standardized breakdown of price components. 

This aims to ensure that oil prices in domestic markets accurately reflect global cost movements, amid reports that some firms are allegedly taking advantage of the worsening crisis by raising prices per liter.

“We can't just speculate why gasoline is so expensive…When the basis for the increase is clear, the chances of abuse will certainly decrease,” Marcos said on Tuesday.

If passed into law, the measure would amend the Oil Deregulation Act (RA 8479), which removed government control over prices and liberalized the downstream industry by deregulating competitive pricing by industry players. 

Prior to its enactment in 1998, petroleum prices were set by the Energy Regulatory Board based on global oil costs and exchange rates, with the Oil Price Stabilization Fund absorbing fluctuations to prevent changes in pump costs.

Under the bill, oil companies must give seven days advance notice before imposing a price increase, along with a justification. It would also empower DOE  to conduct audits, set reasonable revenue standards, and take action against violators.

Senate President Tito Sotto also filed a similar bill in early March, though his version calls for a total repeal of the law. This aims to restore the authority to manage fuel prices to the state, ensuring price transparency, especially in times of crisis. 

Prices of petroleum products remain significantly high despite reports of steady supply, eroding the purchasing power of transport workers, farmers, fisherfolk, and consumers. 

Senator JV Ejercito, meanwhile, urged the DOE to refrain from “sugarcoating” its reports to President Marcos Jr., warning that intransparent reporting could hinder swift government response to looming supply shortage. 

He urged concerned Cabinet secretaries and officials to provide accurate, ground-level information, especially as the country braces for another major price hike that could drive inflation higher.

“In this kind of crisis, reports cannot be downplayed or sugar-coated. If the data provided to the President is incomplete or incorrect, how can we arrive at the right solution? In times like these, we cannot rely on guesswork; only facts are needed,” he lamented.

As of Tuesday, DOE Secretary Sharon Garin said total fuel inventory stands at 75.05 million liters, enough to last more than 50 days.

The breakdown showed that gasoline stocks, at 23.33 million liters, could last up to 57.6 days, while diesel stocks, at 32.52 million liters, could last up to 47 days. 

Kerosene supply takes the lead at 142,140 liters, enough for 106 days, while LPG—the main cooking fuel for households and restaurants—still has the shortest supply at 10.27 million liters for just 33 days. 

Meanwhile, jet fuel and fuel oil stocks stand at 6.32 million liters and 2.47 million liters, respectively, just enough for 66 and 52 days.