This is actually a developing blog story since my main goal here is to engage in an honest debate with a socialist blogger.
But make no mistake, I’m against the Oil Deregulation law because I am in favor of free market system for the Philippines. That is, let’s not just free or deregulate the oil sector; let’s free the entire economy.
“Oil deregulation” when applied to Philippine context, which is in fact a protectionist economy, is utterly absurd and misleading. Why did we (under former President Fidel V. Ramos) have to deregulate our oil industry? Well, it’s because first, we don’t produce our own oil. Second, since we don’t produce our own oil, we needed to allow foreign oil companies to invest here. Third, we had to pass a law partially allowing foreign oil companies because of our protectionist Constitution.
As I stated in my previous blog titled “The Folly of the Oil Deregulation Law and the Intellectual Bankruptcy of Its Statist Opponents“:
I believe that this measure or edict, which is highly paradoxical, is a mockery of justice, of the true essence of free and open competition, of the free market system, and of reason. It is a clear manifestation or symptom of the worsening intellectual bankruptcy and culture of mediocrity in this country. The law purportedly aims to deregulate the oil industry in order to guarantee market competition in the oil sector, thereby lowering the prices of petroleum/oil products. I say, anybody who truly understands the link between politics and economics should laugh at the hypocrisy and intellectual bankruptcy of those who crafted this law. But does that mean I oppose this measure? I don’t, but allow me to objectively clarify my stand and explain the complex ramifications of this issue.
Now there’s this socialist blogger named Pistong Melliza who wrote a blog denouncing the Oil Deregulation law and the government’s
weakness to deal with the country’s “oil cartel” without presenting an alternative solution. But since he’s a socialist, I suspect he’s rooting for a socialistic system or nationalization of the oil industry.
Pistong Melliza in his blog titled “Cha-cha has political aims” denounced the country’s oil cartel and blamed the Oil Deregulation Law that took effect in 1996 for “jacked up” oil prices and the inability of the Philippine government to control Petron.
“Not contented in pleasing her masters in the cartel, Aquino unleashed the floodgates to privatization. Her economic mentors prescribed the pill of liberalization, opening the country to further foreign control, “globalization” as her guardians in the IMF-WB and the Opus Dei termed it, so to usher the country to progress, create jobs that turned out to be dud.”
“An economy that has no backbone and trapped in huge debts merely condemned its people to deeper wretchedness by enacting the Oil Deregulation Law. Saudi Aramco and its partner Mobile own only 40 percent of Petron; majority is still owned by the Philippine government through SSS and GSIS but the foreign giants still control its management.”
Pistong Melliza must be one of the first to know and understand we don’t have a “liberalized” economy. The so-called oil deregulation law is a clear admission Filipinos do not have the mental and collective capability to produce oil on our own land. That is why Ramos had to PARTIALLY OPEN our oil sector to foreign oil companies. And we have an OIL CARTEL because of our protectionism. In short, our protectionism created the Oil Cartel!
Mr. Pistong should make his thesis a lot clearer. Should we nationalize the oil industry? If that’s what he wants, then he wants to replace the existing cartel with STATE MONOPOLY.
There’s only one way to monopolize the Oil Sector= Nationalization of the Oil Industry.
Any person who has functioning brain cells would be able to understand that nationalization of the oil industry is tantamount to ECONOMIC SUICIDE.
- We don’t produce our own oil. We must be very honest to admit the bitter FACT that pinoys do not have the intellectual, technological and scientific capability to explore, produce and refine oil! Kahit pagsama-samahin na natin ang lahat na siyentista (KUNO) na graduates ng UP, they can NEVER match the technological/scientific team of Petron or Shell. Kahit isama mo na alng lahat ng graduates ng UP from 1920 up to 2010. Wala silang kakayahan na mag-produce ng oil.
- Don’t you think nationalization of Petron, Shell, etc. will not enrage other countries, particularly OPEC and Saudi Arabia, which owns Petron? LOL! Baka gusto ni Pistong bumalik tayo sa pagkakalesa at paggamit ng panggatong! lol. The IGNORANCE and UTTER IDIOCY of these commies don’t cease to amaze me.
- Let’s assume we have just nationalized our Oil Sector, sinong Poncio Pilato sa gobyerno ang may alam sa Oil Technology?
Don’t you think hindi mag-aalsa balutan ang mga foreign personnel ng mga so-called Oil Cartel na to?
- Don’t you think hindi nila sisirain ang kanilang technologies and facilities?
- Don’t you think hindi magde-declare ng economic boycott ang Saudi Arabia kasama ang buong OPEC?
- Don’t you think Saudi and OPEC countries won’t ban OFWs and stop trading with the Philippines?
MAG-ISIP-ISIP NGA KAYO!
Pistong Melliza responded to the Facebook post two days later. He said: “go back to history. filoil. petron. vincenton post, you are covering the obvious. why don’t you reveal your identity, an opus dei at that.”
Here’s a snapshot:
This is the brain problem with most leftards, you can’t expect them to be more responsive. They’re only good at peddling incoherent, biased, untruthful propaganda, and this is the reason they won’t directly respond to questions, issues or arguments.
Here’s Pistong Melliza‘s impossibly ridiculous and hilarious response: “why are you scared of state-owned and controlled corporations? cuba and hugo chavez solved the poverty of their countries by ensuring that their national wealth benefits their people.”
Here’s another snapshot:
Pistong Melliza: “read history again. cuba and venezuela have not isolated themselves. they have established and try to establish good foreign relations with all nations through their embassies and consulates.”
Pistong Melliza, you know what? Citing Venezuela as your best model for socialism utopia will not answer the issues and questions raised.
I gave you the main difference between the Philippines and Venezuela. The Venezuelans had their own oil long before Chavez came to power and nationalized the oil industry after changing their charter. The Philippines does not have any existing oil reserves, which can simply be nationalized by our government. That’s the difference.
So, you’re telling me now simply nationalizing the Oil Cartel will solve the problem? Where will we get the oil? We still need to import them from Saudi Arabia and OPEC countries! And do you think Saudi Arabia and OPEC countries will simply just ignore the nationalization of their oil companies here in the Philippines?
Again, please be more responsive.
Also, how can other countries trade with them if they won’t allow reciprocal trade? Do you understand the principle of reciprocity in international law? Any mixed economies can trade with one another. You’re the one who really needs to read history.
Pistong Melliza: “Cuba and Venezuela are trading except with the u.s. which still cannot accept the reality that its two former protegees have managed to stand up without holding on to uncle sam’s apron string.”
My reply: “No shit sherlock! The question is: Are they capable of RECIPROCAL TRADE with mixed economies like Chile, Japan, Switzerland, Germany, etc? Know the principle of reciprocity in international law. Now, here’s a question I want you to answer: Suppose we have just nationalized the “evil” Oil Cartel, where will we get the oil?”
I’ve yet to see a leftard who’s courageous, honest and willing enough to directly respond to questions, issues and arguments without resorting to lying, fallacies, obvious evasion and epic fail trolling.