Local oil retailers rolled back prices of their products after last week’s mixed adjustments.
Seaoil reduced per liter prices by P1.40 on gasoline, P0.70 on diesel and P0.20 on kerosene. Clean Fuel adjusted per liter prices downward by P1.40 of gasoline and diesel by P0.70.
Today’s adjustments were mainly attributed to the continuing global concerns brought by economic uncertainty and the possibility of rising interest rates amid an expected recession.
Data from the Department of Energy (DOE) as of April 11 showed Manila price per liter of gasoline (RON95) stood at P65.65, diesel at P59 and kerosene at P70.38.
DOE data as of April 18 showed that year-to-date adjustments stood at a total net decrease of P2.35 per liter for diesel and P3.35 per liter for kerosene but a net increase of P8.95 per liter for gasoline.
Reuters reported that as of Friday last week, Brent futures for June delivery ended at $81.80 a barrel while West Texas Intermediate crude for June delivery was at $78.11 per barrel.
Analysts said the price drop could have been much higher if not for the International Energy Agency’s warning that output cuts recently announced by the Organization of the Petroleum Exporting Countries will most likely cause an oil supply deficit expected in the second half of this year. This can also affect consumers in the middle of a global economic recovery.
The Group of Seven coalition composed of Canada, France, Germany, Italy, Japan, United Kingdom and the US also announced it will keep the $60 per barrel price cap on seaborne Russian oil despite rising global crude prices and appeals by some countries for a lower price cap to limit Russia’s income. – Jed Macapagal
