Philippines: Six fuel stations flagged for charging higher fuel excise taxes

The Deparment of Energy (DOE) issued show cause orders and dispatched inspection teams to the retail Petron brand stations.

The Department of Energy (DOE) targeted six fuel Petron brand stations to explain why the company implemented the second round of fuel excise tax increase for 2019 before their stock of 2018 gas products have supposedly been consumed, informed GMA news.

Fuel retailers cannot implement the new excise tax rates on their 2018 inventory even though the second round of excise tax increase took place omfr 1 January, 2019. The new excise tax rates are expected to be in place by the middle of this month, according to DOE.

The six fuel stations tasked “have five days to explain upon receipt of the show cause orders," DOE-Oil Industry Management Bureau Director, Rino Abad, announced during a press briefing.

The affected oil company, Petron Corp., notified the DOE about the six fuel stations. “These included stations with low storage capacity which reflected the new prices after their old inventories were depleted,” the retailer argued.

Oil companies are required to post a notification informing their customers about the implementation of the second round of fuel excise tax increase in their products.