Pump prices went up by P1.05 per liter for diesel and P0.90 per liter for gasoline effective 6 a.m. Tuesday, but local oil firms cut the price of kerosene by P0.25 per liter to reflect the movement of prices in the world oil market.
“PTT Philippines to implement the following price adjustments effective 6 a.m. Tuesday, February 21, 2023: Gasoline, an increase of P0.90 per liter and diesel, an increase of 1.05 per liter,” the company said in its advisory.
Seaoil Philippines, Chevron Philippines, PetroGazz, and Jetti Petroleum issued separate advisories of their latest price hikes, as other oil companies are expected to follow.
An industry source said over the weekend diesel would likely go up by P1 to P1.10 per liter and gasoline by P0.85 to P0.95 per liter.
The Department of Energy also said last Friday consumers can expect an oil price hike of more than P1 per liter for diesel and less than P1 per liter for gasoline and kerosene, based on the oil price movement for a four-day trading period.
“Yes, there will be an increase in the prices of petroleum products on Tuesday, Feb. 21,” DOE Oil Industry Management Bureau director Rodela Romero said.
Romero said the price increase was “primarily due to the plan of Russia to cut their crude production and the IEA [International Energy Agency] announcement that the world oil demand is predicted to rise by two million barrels per day in 2023.”
“One contributory factor is the increase in demand of China as a result of the lifting of their Zero Covid policy,” Romero said.
China is one of the world’s biggest consumers of oil products.
On February 7, the oil companies rolled back pump prices by P2.10 per liter for gasoline, P3 per liter for diesel, and P2.30 per liter for kerosene.
These resulted in total net increases this year at P5.10 per liter for gasoline, P0.05 per liter for diesel, and P2.25 per liter for kerosene.
Domestic pump prices are adjusted weekly, and prices of petroleum products vary depending on the brand, location, and market forces.
The Philippines imports more than 90 percent of its fuel requirements.