Malacañang is satisfied with the compliance of all oil companies to a temporary price freeze on petroleum products in Luzon and does not see any immediate takeover of oil companies.

Executive Secretary Eduardo Ermita expressed hope the oil companies would not push the government into taking "extreme measures," including taking over their operations should they violate an Executive Order no. 839.

EO 839 directs oil industry players to keep prices of petroleum products at October 15 level during the period of emergency in Luzon. The order will remain in effect until the state of calamity in the island is removed.

“For the moment, the Palace is giving some degree of satisfaction to the compliance to the purpose of the issuance of EO 839,” Ermita said in a news conference in the Palace.

Ermita said the lifting of EO 839 will depend on the recommendation of the National Disaster Coordinating Council, which includes all concerned government agencies. He said they will not pressure the NDCC for its recommendation especially as another tropical cyclone is threatening Luzon.

Given the full compliance of the oil firms to EO 839, Ermita asserted that a government takeover of oil companies, which is allowed by the oil deregulation law in times of national emergency, is a remote possibility.

Major oil players that complied with the Malacañang-ordered “prize freeze” have claimed that a fuel supply shortage is imminent, but at least one oil firm is saying such a scenario won’t happen.

Small player Unioil Petroleum Philippines on Wednesday assured the public that it has enough supply of diesel, gasoline, and kerosene for the local market.

“There will be no problem in the normal flow of petroleum products in all our retail stations,” Unioil General Manager Chito Medina-Cue Jr. said, stressing that the firm has ample supply of petroleum in their inventory to comply with Executive Order (EO) 839.

Unioil, which rolled back pump prices last Sunday night, was the first to heed President Gloria Arroyo’s directive which called on all oil companies to revert to their October 15 price levels and keep them pinned there until the state of calamity is lifted over Luzon.

Also, lawmakers called on Energy Secretary Angelo Reyes to compel the Big 3 oil firms to comply with President Arroyo’s Executive Order 839, which temporary freezes fuel prices to October 15 levels. (With reports from Ellson Quismoro and Gabriel Mabutas)