Petron Corp. on Friday announced it will implement a P2.20 per kilogram rollback in liquefied petroleum gas prices, equivalent to P24.20 per 11-kilo tank effective 12:01 a.m., Feb. 1.
Petron said it will also cut its Auto LPG prices by P1.25/liter at the same time.
“These reflect the international contract price of LPG for the month of February,” it said.
Phoenix LPG Phils. Inc. also announced it will cut the prices of Phoenix Super LPG by P2.20 per kilogram and Auto LPG by P1.25 per liter effective 12:01 a.m. of Saturday.
Meanwhile, the Power Sector Assets and Liabilities Management Corp. will cease collecting the P0.0543 per kWh Universal Charge for Stranded Contract Costs effective February.
“This is a relief to power consumers all over the country as they are no longer going to be charged the UC-SCC,” PSALM said in a statement.
Without the charge, electric bills will be reduced P5.43 for every 100 kWh of electricity consumption it added.
PSALM has started advising electricity distribution and collecting utilities to terminate the implementation of the UC-SCC.
In a decision of the Energy Regulatory Commission dated April 10, 2019, PSALM was permitted to recover P5.12 billion through the UC-SCC.
Based on PSALM’s computation, this recoverable amount could already be covered by the UC-SCC imposed in the January 2020 billing period.
The Electric Power Industry Reform Act defines UC-SCC as the “excess of the contracted cost of electricity under eligible contracts over the actual selling price of the contracted energy.”
The UC-SCC charges were intended to pay the remaining financial obligations the government incurred due to the construction of new power plants to alleviate the power shortages in the 1990s and early 2000.
On Jan. 28. most of the oil firms cut pump prices by as much as P0.40 per liter to reflect the movement in prices at the world oil market.
The oil firms cut the price ot diesel by P0.40 per liter, P0.35 per liter for kerosene and P0.30 per liter for gasoline.
Last Jan. 18 to 21, most of the oil companies also cut the price of gasoline by P0.85 to P0.90 per liter, diesel by P1.70 per liter and P1.60 to P1.65 per liter for kerosene.
World oil prices have softened recently as oil-producing Russia and nine other countries are entering their fourth year of production cuts aimed at supporting oil prices, with the group slashing 1.7 million barrels per day until March.
Saudi Arabia is also planning to further cut 400,000 b/d and OPEC and its allies will meet again March 5-6 in Vienna to decide on the future of the deal.
Demand from the Asian market declined due to healthy supply and weak demand as driving activity tapers off during winter. The oversupply situation in Asia was also seen in the Middle East.