Palace: PNOC-EC working on importing cheaper diesel from Russia

The Philippine National Oil Company-Exploration Corporation (PNOC-EC) has begun the process of importing cheaper diesel from Russia to address the increasing prices of petroleum, Malacañang said on Tuesday.

Presidential Spokesperson Harry Roque said Energy Secretary Alfonso Cusi confirmed the development amid the soaring prices of oil in the world market.

“Kagabi po nagkaroon po ako ng kumpirmasyon galing kay Secretary Cusi na meron na pong hakbang na ginagawa ang PNOC-EC para mag-angkat po ng mas murang diesel galing sa Russia,” Roque said in a televised press briefing from Bontoc, Mountain Province.

(Last night Secretary Cusi confirmed that the PNOC-EC has already taken steps to import cheaper diesel from Russia.)

Roque said Russian diesel may cost around P25 to 27 per liter, including insurance and transportation costs—way below the current average P43 per liter price in the Philippines.

It is still unclear, however, if the oil product still needs to be processed in Singapore, which means could top-up the overall cost of the diesel.

“But at half the price, maski may (even if there is an) additional cost pa ang (for) reprocessing sa Singapore, I think it would be a lot cheaper than current prices of diesel,” Roque said.

The spokesperson said once the importation pushes through, the government may tap Petron and Phoenix as distribution network.

The companies, Roque said, had volunteered to sell Russian diesel at “more or less” the importation price plus administrative costs.

“So parang mayroon namang voluntary offer iyong at least two companies ‘no kung mag-succeed tayo ng importation ng cheaper Russian diesel, ipapasa po nila sa publiko iyong cheaper Russian diesel maski hindi na natin pag-aari ang Petron,” he said.

(So at least two companies have voluntary offered their services once we have succeeded chaper Russian diesel, they [oil companies] will pass on to the public cheaper Russian diesel even though we do not own Petron.) /vvp