Philippines: DOE Urges Motorists to Refuel Ahead of Expected Oil Price Hike

The Department of Energy (DOE) in the Philippines is strongly advising motorists to refuel their vehicles over the weekend, citing a high probability of increased pump prices next week. This anticipated hike is attributed to recent events in the Middle East impacting global oil markets. Rino Abad, Director of the DOE's Oil Industry Management Bureau, indicated that the expected price adjustment could be significant, potentially ranging from P4 to P5 per liter, exceeding the increases seen in early September. This week alone saw price hikes of P1.08 for gasoline, P2.31 for diesel, and P0.95 for kerosene. "Based on the trend we are seeing, it would be best if they refuel this weekend rather than waiting until Tuesday. It will help them avoid the price increase expected to be effective on Tuesday next week," Abad stated in a radio interview. Price adjustments are typically announced on Mondays and take effect every Tuesday at 6 a.m. The recent surge in global oil prices is linked to incidents such as the attack on oil tankers in the Strait of Hormuz. Earlier this week, reports confirmed the deaths of two Filipino seafarers aboard a Saudi-flagged crude oil tanker hit by an unidentified projectile, amidst heightened tensions and retaliatory attacks between the United States and Iran. "Those events have resulted in our expected increase next week," Abad confirmed. While the Philippine economy relies heavily on remittances from overseas workers, domestic fuel price increases can lead to higher transportation costs, impacting the prices of goods and services across the board. Fluctuations in fuel prices directly affect the daily lives of citizens and the logistics sector.