Title
Oil Price Stabilization Fund Contributions
Law
Erb No. 98-03
Decision Date
Feb 4, 1998
Oil companies are mandated to adjust their contributions to the Oil Price Stabilization Fund in response to a provisional increase in wholesale petroleum prices, ensuring that retail prices reflect these changes while protecting socially-sensitive products from significant price hikes.
A

Q&A (ERB Resolution NO. 98-03)

The main purpose is to direct oil companies to contribute to or withdraw from the Oil Price Stabilization Fund to manage and stabilize petroleum product prices in the Philippines.

Fifty Two Point Ninety Seven Centavos (P0.5297) per liter.

Premium Gasoline, Unleaded-Premium, Regular Gasoline, Avturbo, Kerosene, Diesel Oil, Fuel Oil/Feedstock, LPGas (0.0000 or no increase).

The resolution minimizes the increase effect for socially sensitive products such as Automotive Diesel Oil, Industrial Fuel Oil, and Kerosene by directing oil companies to contribute to or withdraw from the Oil Price Stabilization Fund accordingly.

By adding to the wholesale posted price ex-depot the dealer's mark-up, hauling/freight charges from their respective depot, Company Transshipment Differential (CTD), Posted Price Differential (PPD), and Rounding-Off Differential (RD).

Thirteen Pesos and Thirty Centavos (P13.30) per liter.

Republic Act No. 8184 (Restructuring the Tax Excise on Petroleum Products) and Executive Order No. 365 (removal of special levy on imported crude and petroleum products).

The President of the Liquefied Petroleum Gas Institute of the Philippines, Inc. and the Presidents of all dealers' associations of oil companies.

It serves as a mechanism to allow oil companies to contribute to or withdraw funds to stabilize prices and minimize the negative effects of cost fluctuations on consumers.

The Department of Finance, Department of Trade and Industry, National Economic and Development Authority, Department of Energy, Bureau of Internal Revenue, and both Houses of Congress.


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