Philippines: Fuel Prices See Rollback, Offering Modest Relief to Motorists

MOTORISTS will get modest relief this week as oil companies roll back pump prices by as much as P2.09 per liter (L), following softer global oil product prices, the Department of Energy (DoE) said on Monday. Starting on Tuesday, gasoline prices will fall by P0.73 per liter, diesel by P0.60 per liter and kerosene by P2.09 per liter, based on the DoE’s latest advisory. Seaoil Philippines, Inc. and Flying V will implement the minimum price reductions announced by the DoE. Jetti Petroleum, Inc. said it would cut gasoline prices by P0.80 per liter and diesel prices by P0.60 per liter. “I know that many of you are still feeling the weight of the past week’s increases, but every rollback matters,” Energy Secretary Sharon S. Garin said in a briefing. “It means a little less pressure on our drivers, farmers and small businesses who move this economy every single day.” She said the latest adjustment also underscores the continued volatility in global oil markets. “This shows the fact that the Middle East conflict is still volatile, and we still have to brace ourselves and be prudent with our spending, as far as fuel is concerned,” she added. Following the rollback, prevailing pump prices in Metro Manila and other highly urbanized areas are expected to reach as much as P99.17 per liter for gasoline, P103.90 per liter for premium diesel and P136.01 per liter for kerosene. Jetti President Leo P. Bellas attributed the decline in fuel prices to higher exports from China, which offset reduced oil flows from the Middle East, as well as a slight increase in regional fuel inventories. However, he said supply concerns remain. “However, persistent supply concerns due to refinery disruptions in the Middle East and continued strain on Russian refining infrastructure have tightened near-term product availability, putting a firm floor under prices,” he said. Meanwhile, the price of liquefied petroleum gas increased by P3.67 per kilogram, raising the cost of an 11-kilogram cylinder to P1,481.54. The Philippines remains heavily exposed to disruptions in the Middle East, with about 98% of its crude oil imports coming from the region. Ms. Garin urged consumers to continue conserving fuel and electricity, saying uncertainty surrounding the conflict remains. “Until we see a more permanent agreement among the parties concerned — specifically the US, Iran and Israel — we cannot afford to be complacent,” she said.