Local oil retailers yesterday adjusted the prices of major fuel products at the pumps, with gasoline increasing by P1.40 per liter and diesel and kerosene by P1.20 per liter.
This marked the second straight week of across-the-board price increases, coming amid fears of supply tightening in the world oil crude market.
With the price hike taking effect today, the cumulative price adjustment for three weeks will result in P2.50 for gasoline and P1.60 for diesel and kerosene.
An independent fuel retailer said the adjustments are due to concerns about supply and trade, including new sanctions the United States slapped against oil producers and possible production cuts to be adopted by the Organization of the Petroleum Exporting Countries (OPEC) and its allies.
Seaoil and Caltex increased the per-liter price of gasoline by P1.40 and diesel and kerosene by P1.20.
Meanwhile, Jetti and Clean Fuel are imposing similar price adjustments for gasoline and diesel. These companies do not sell kerosene.
The latest data from the Department of Energy (DOE) showed that the price per liter in Manila as of March 25 reached P56.60 for gasoline (RON91), P53.90 for diesel, and P70.67 for kerosene.
Meanwhile, as of the same date, the DOE recorded a total net increase of P3.25 per liter of gasoline and diesel but a net decrease of P0.30 per liter of kerosene year-to-date.
Leo Bellas, president of Jetti Petroleum Inc., told reporters that the factor pushing fuel prices up this week is the possible tightening of global crude supply amid
the US decision to implement fresh sanctions against Iran and tariff threats on Venezuelan oil buyers.
Bellas added that OPEC plans to require seven of its member nations to have additional oil output cuts to compensate for their past overproduction, which may greatly affect the group’s earlier announced production hikes starting April this year.
“Signs of healthy demand in the US as crude and fuel inventories fell more than expected overshadowed the adverse effects of the wider trade war on the world’s economy and demand for oil,” he explained.
Meanwhile, Rodela Romero, DOE’s Oil Industry Management Bureau director, said the continuing tension between Russia and Ukraine, which has affected both countries’ energy-related installations, has also impacted global crude prices.
