ABSTRACT
In early 1998, the Philippine Congress enacted a new oil deregulation bill after the Philippine Supreme Court struck down the earlier law, and President Fidel Ramos signed an executive order fully deregulating the oil industry. Congressman Enrique Garcia, who had battled against the previous version, challenged the new law as well. He argued that the law favoured the major oil companies and was contrary to the constitutional prohibition against monopolies and oligopolies. While awaiting a lengthy court process on the new law, Mr. Wallace offered this analysis of the debate surrounding the court decision on the original version—and its significance in terms of doing business in the Philippines. Venvenuto Icamina and Arturo Fidelino of the Economist Intelligence Unit Philippines provided research material for this analysis.
