DoE official catches QC outlets selling LPG tanks at an overprice

By Pat C. Santos

11/05/2009

Department of Energy (DoE) Undersecretary Roy Kyamko during a surprise inspection caught red-handed at least two outlets in Quezon City that were selling their liquefied petroleum gas (LPG ) cylinders at a price higher than what has been prescribed via President Arroyo’s Executive Order (EO) 839.

This after the DoE issued the warning to LPG stores not complying with the price freeze imposed that they would penalize outlets caught selling overpriced LPG products in the market.

“We will make a report about this and forward this to the joint task force (composed of the DoE and Department of Justice),” Kyamko said, adding “the joint task force will then evaluate this and decide on what legal action to take.”

Last Tuesday afternoon, a DoE inspection team headed by Kyamko found dozens of assorted brand cooking gas tanks being kept at a shanty-turned-stockroom along Agham Road in front of Philippine Science High School in Quezon City.

“We received a report from a concerned citizen that overpriced LPG tanks were stocked there,” Kyamko said.

There, the inspectors discovered that Island Gas cylinders were being sold at P548, some P33 over the price cap of P515 for every 11-kilo tank.

Island Gas, according to Kyamko, raised prices by P3 a kilo last Nov. 1. Ruel Lim, owner of the LPG outlet, said their dealers hiked prices so they had to follow suit.

“Nagtaas ang puno kaya dapat ring magtaas ang sanga. Pano naman kami kung hindi kami magtataas,” Lim said in justifying the hike.

Another LPG retail outlet along Commonwealth Avenue also in Quezon City was found selling Gasul tanks, the official said. The LPG cylinders there were reportedly overpriced by P40.

But Kyamko clarified that it was not within their mandate to shut down the establishments that were caught violating the EO.

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