Local oil firms are increasing the price of cooking gas or liquefied petroleum gas (LPG) by P4 per kilo, equivalent to P44 per 11-kilo tank, to reflect the movement in the contract price of LPG in the world market.
This is on top of higher pump prices effective 6 a.m. today (Tuesday) by as much as P0.75 per liter for the fifth consecutive week.
“Please be advised that we are increasing our Solane-branded LPG price by P4 per kg VAT inclusive effective February 1, 2022 at 6AM,” Solane said in its advisory.
Phoenix LPG Phils., Inc. also announced it will increase its Phoenix Super LPG by P4 per kilo and Auto LPG by P2.24 per liter effective 12:01 a.m. of Feb. 1.
For pump prices, oil firms raised the price of gasoline and diesel by P0.75 per liter and kerosene by P0.45 per liter, as world prices continued to soar due to the series of supply disruptions, which raised fears of tight supply amid increasing demand.
“Phoenix Petroleum Philippines will increase the prices of gasoline and diesel by P0.75 per liter effective 6am of 01 February 2022,” the company said in its advisory.
Caltex, Cleanfuel, Seaoil Philippines, and PetroGazz issued separate announcements of the latest oil price hike while other oil firms are expected to follow.
With the latest increase, year-to-date adjustments to stand at a total net increase of P6.40 per liter for gasoline, P9.10 per liter for diesel, and P8.45 per liter for kerosene.
On January 25, the oil companies also implemented a price increase in domestic oil products. Gasoline increased by P1.45 per liter, diesel by P1.90 per liter and kerosene by P1.70 per liter.
Latest monitoring from the Department of Energy showed that crude oil prices continued its strong uptrend from last week as supply disruptions continue to grow while demand recovery stays robust as some countries are possibly close to “peak Omicron variant” impacts.
A recent pipeline explosion in Turkey affecting more than 400,000 barrels per day of oil supply without any timeline for a resumption is only one of the increasing oil supply disruptions.
The Department of Energy said escalating tensions at the Russia-Ukraine border also pushed up prices.
Supply woes in Libya and Kazakhstan and growing concerns of the Organization of Petroleum Exporting Countries and its allies’ spare capacity to meet increasing demand helped shore up prices.