Limay, Bataan—Employees of the Petron oil refinery here sought help from the local government to avert the impending closure of the country’s largest and only remaining oil refiner and save their jobs, following reports that it would be closing in January for economic reasons.
Thom De Villa, a shift superintendent, led some 50 Petron Refinery employees in formally calling on Limay, Bataan Mayor Nelson David’s help to save the flagging refinery, which has been in operation for the last 60 years.
“Sama-sama kaming humihingi ng tulong sa lokal na pamahalaan ng Limay na tulungan ang Petron. Naniniwala kami na malaki ang magagawa ng pamahalaan para hindi tuluyang magsara ang refinery. Kung magtulungan sila at ang pamunuan ng kompanya, may paraan pa para maisalba ang refinery. Saksi ang bawat Bataeno sa naging kontribusyon ng Petron sa bayan ng Limay at sa buong Bataan. Bahagi na ng Bataan ang Petron Refinery,” De Villa and his group said.
The employees also expressed their support for a proposal to reclassify the refinery as part of the Freeport Area of Bataan.
The employees cited that it is not only them that will be affected by the closure.
“Marami sa amin ang may mga pamilyang kailangan buhayin, may mga mabibigat ng responsibilidad at may matitinding pangangailangan. Lahat ng ito ay malalagay sa alanganin sa oras na magsara ang refinery. Hindi lang kaming mga empleyado ng Petron and tatamaan sakaling matuloy ito, ngunit pati na ang mga taong sa amin lang umaasa, lalo na’t panahon ng pandemya,” they added.
The employees believe that the move would help stop the refiner’s financial bleeding, as it will partially address some of the company’s major woes, which include what the company has described as an uncompetitive playing field in terms of taxes paid.
In earlier statements, Petron Corporation President Ramon S. Ang lamented that the refiner is taxed upon importation of crude oil while importers are charged at the finished products level putting the refiner at a significant disadvantage due to much higher taxes.
In addition, Illegal importers have also been a persistent issue as they sell at much lower prices, further eroding margins and market share from the Philippine refiner.
Volatility in world crude prices, which ultimately result to huge inventory losses, coupled with the prolonged decline in demand due to the continuing effects of the COVID-19 pandemic on transportation and industries, has further worsened the refinery’s financial woes.