Pump prices are expected to go down next week by as much as P1.20 per liter after five weeks of consecutive oil price hikes, the Department of Energy said on Friday.
Industry sources estimate the price rollback at P1 to P1.20 per liter for gasoline, P0.40 to P0.60 per liter for diesel, and P0.45 to P0.65 per liter for kerosene, based on the four-day trading of the Mean of Platts Singapore, the benchmark pricing used by oil importers.
Rodela Romero, DOE director for the Oil Industry Management Bureau, confirmed the forecasted price rollback but said Friday’s trading movement might change these estimates.
“Reasons for rollback are the buildup of US crude inventories and the increase of US oil production and the slowing oil demand growth.
Though the following reasons make the oil market in a bullish mode, namely the Israel-Hamas tensions, the production cut of OPEC member countries, and India’s oil demand growth,” Romero said.
On Feb. 6, local oil companies implemented a per liter increase in the price of gasoline, diesel, and kerosene by P0.75, P1.50 and P0.80 per liter, respectively.
Year-to-date price adjustments of gasoline, diesel, and kerosene standat a net increase of P5.15 per liter, P4.40 per liter and P0.85 per liter, respectively.
Prevailing retail prices of petroleum products in the National Capital Region for Jan. 30 to Feb. 5 range from P56.30 to P81.58 per liter for gasoline, P52.90 to P83.56 per liter for diesel and P72.85 to P84.28 per liter for kerosene.