Panayam kay DOE Dir. Atty. Rino Abad kaugnay ng pagtaas ng produktong petrolyo

PTVPhilippines

Panayam kay DOE Dir. Atty. Rino Abad kaugnay ng pagtaas ng produktong petrolyo  For more news, visit:  ►https://www.ptvnews.ph/  Subscribe to our DailyMotion Channel: ►http://www.dailymotion.com/peoples-television-incorporated  Subscribe to our YouTube channel: ►http://www.youtube.com/ptvphilippines  Like our Facebook pages: ►PTV: http://facebook.com/PTVph  ►Rise and Shine Pilipinas: https://www.facebook.com/riseandshinepilipinas  Follow us on Twitter:  ►http://twitter.com/PTVph  Follow us on Instagram: ►https://www.instagram.com/ptvph  Watch our livestream on:  ►http://ptvnews.ph/livestream/ ►https://www.dailymotion.com/PTVPhilippines  Watch our News Programs, every Mondays to Fridays  Rise and Shine Pilipinas - 6:00 - 8:00 am Bagong Pilipinas Ngayon - 12:00 - 1:00 pm Sentro Balita - 1:00 pm - 2:00 pm Ulat Bayan - 6:00 pm - 7:00 pm PTV News Tonight -  9:30 pm - 10:30 pm  Saturday & Sunday: ►Ulat Bayan Weekend - 6:15 pm - 7:00 pm

Transcript

00:00We have on the telephone line Director Forr, Oil Industry Management Bureau of the Department of Energy, Sir Rino Abad.

00:07Good morning, Director Abad. This is Audrey Gorizeta with Dian Carrer of Rise and Shine Philippines.

00:13Good morning to your program and to our countrymen.

00:18Okay, Director. The price of oil products has increased again. What is the reason for this?

00:26Well, I'm not 100% sure, but from what we have read, the effect of this increase is temporary towards the end of the year.

00:43The biggest reason for this is the increase in the interest of the U.S. Federal Reserve.

00:52There is a threat of two strong storms in the U.S. Gulf of Mexico.

01:01Those areas are major producers of oil.

01:06It looks like there were some disturbances last week.

01:11Now, another hurricane is approaching.

01:16Fundamentally, towards the end of the year, the forecast is that the demand is low.

01:25Our supply is okay.

01:29There is an offset. Probably, for the next few weeks, we may experience rollbacks again.

01:40Okay. Let me just repeat, Director. What you said earlier is temporary.

01:45So, we hope that the increase in the price of oil products will not be that big.

01:51Yes. Well, this can happen this week and the next week.

01:59But if we are talking about a trend, most of the reasons are towards a bearish outlook.

02:11Meaning, the demand is getting weaker.

02:14The supply is good.

02:15So, most likely, if it doesn't go down, we are sure that it will not go up.

02:23That is the good outlook.

02:26Others said that we are at US$77 per barrel.

02:30If it goes down, it will be hard to go up to below US$70.

02:38We are already at US$60.

02:40What we have been experiencing for the past few years is that the forecast is not comfortable.

02:53But at the US$70, it looks like we are there and we will continue to experience this until the end of the year.

03:01Alright, Director.

03:01For the sake of our consumers, our countrymen,

03:07why does the price of oil products change almost every week?

03:13Oil companies buy oil every 3 months, right?

03:17So, it should be 3 months before there is a price adjustment.

03:21What is the explanation for this, Sir?

03:23Well, this is just a system.

03:26Because when we regulate, in fact, when we regulate,

03:32oil companies may implement any time that they want to implement a price.

03:38Because they will discard it.

03:40That is what the regulated regime said.

03:43There is no price control, including price schedule.

03:46There is no such thing.

03:47However, this has evolved.

03:51This is still the time of Secretary Reyes.

03:54Before, it was set every month to put an order on the price.

04:01But the agreement is that the computation will enter daily.

04:08The effect of daily changes on the price will not disappear.

04:13So, the timing of implementing the adjustment is the agreement.

04:20And it has become a custom or tradition of the downstream oil.

04:27The request was given by the DOE weekly so that the adjustment will not be disturbed every day.

04:36Because usually, our price benchmarks have a daily closing price.

04:44So, if the oil companies can afford it, they can do the daily adjustment.

04:49But it will be a bit of a mess.

04:51It will be new. The adjustment of each gas station will not be consistent.

04:59So, what the oil companies did was to agree every week.

05:03But the computation will enter daily.

05:07Director Rino Abad, good morning. This is Dayan Querer.

05:11Sir, how is the supply of oil in our country?

05:14We have no issue with the supply.

05:17In fact, according to the forecast, even in the global stage, the supply is good.

05:23The economy of China and the US is weak.

05:27So, this is the effect that we have experienced for several months.

05:33In fact, if you remember, from August, we were at US$93-US$94 per barrel.

05:41Now, we are at US$77 per barrel.

05:44This is how our supply is measured and prepared.

05:49Okay. Director Abad, for our consumers to understand,

05:55it is said that if the interest rate in the US decreases,

05:59it is expected that there will be an oil price hike.

06:01Can you explain what the connection is,

06:05what the interest rate is when it comes to the sale of oil, sir?

06:09Well, the sudden decrease in the US interest rate 50 times,

06:17we can see here that the use of money from the banks is decreasing.

06:32So, if it decreases like that,

06:35before, it was only 2% or 1%,

06:39in Europe, the interest rate is still negative.

06:42It means that if you want to do business,

06:45it is better to borrow money, right?

06:48The interest rate is low.

06:50So, in that situation, many businessmen are moving in the business

06:55because the interest rate is low.

06:57So, because the demand is increasing,

07:00including the demand for fuel.

07:02Sir, the price of kerosene did not change.

07:04What is the reason for this, sir?

07:06Well, we cannot say.

07:07It just did not reach the extent of the decrease last week

07:12compared to the past week,

07:15because what we are comparing is the past two weeks,

07:18the average of the past two weeks,

07:20and that is where I am guessing what will be the effect this week.

07:24So, it just did not reach the increase

07:28when there was a big decrease last week.

07:32That is the explanation for that.

07:35But trend-wise, the price increased last week,

07:40from Monday to Friday.

07:42It just could not accept the decrease last week.

07:49So, it could not have an increase this week.

07:53Attorney, how is the price of LPG?

07:56Is there any forecast of an increase or decrease in the price?

08:00Well, historically, this is the period

08:03when the northern hemispheres will enter the winter period.

08:08From October, it will be a stocking period.

08:11November and December, it will go straight to March

08:14or April next year.

08:16So, we expect that the demand will increase

08:21and at the same time, the price will increase.

08:24But we observed that since July,

08:29the increases are very small.

08:31It is averaging around 50 centavos per kilogram.

08:37So, I suspect that because of the effect

08:41of the decrease in the crude oil price

08:44from 94 US dollars per barrel

08:47in the past two to three months,

08:49we are now at 77 US dollars per barrel.

08:52I think that offset coincides with the effect of the LPG price

08:56that instead of having big increases every month

09:00when the winter period starts,

09:02we will not be able to experience such a big increase.

09:05I remember that for the past few years,

09:07we were able to reach an adjustment of 7 pesos per kilogram in October.

09:11But for the past three months,

09:14we have been seeing an average increase of 50 centavos per kilogram.

09:19So, most likely, it will increase towards the winter period.

09:25But the good news is that it is highly unlikely

09:29that we will suddenly see an increase of 7 pesos per kilogram next month.

09:34Before we let you go, Mr. Rino Abad,

09:36I'm sure that some of our motorists

09:39will be annoyed by the 1 peso and 10 centavos increase

09:42in the price of each liter of gasoline.

09:44What is your message to them, sir?

09:47Well, this is increasing,

09:53but it has not yet recovered from the decrease.

09:57Our Dubai crude oil is only reaching 77 pesos per kilogram.

10:06This is a good news.

10:09From way back two or three months ago,

10:12we were at 94 or 93 pesos per kilogram.

10:15I expect that the price trend will improve

10:22if it does not decrease or maintain at that level

10:25towards the end of the year.

10:27There are cases like this where the factors are offset,

10:34such as the decrease in the interest rate.

10:36We expect that to happen because of the price.

10:39But for the longer perspective of our current trend,

10:44it seems that our situation will improve towards the year-end.

10:48Mr. Datot, thank you very much for your time.

10:51Here at Rise and Shine Philippines,

10:53I'm Atty. Rino Abad, Director for

10:55Oil Industry Management Bureau of the Department of Energy.

10:58Thank you very much.

Category

Transcript

Recommended