Fuel pumps. AFP FILE PHOTO
Oil companies announced a hefty price adjustment of up to 90 centavos a liter in local pump prices effective Tuesday, June 4.
According to industry players, the price of gasoline will decrease by 90 centavos per liter.
But diesel prices will rise by 60 centavos per liter and kerosene by 80 centavos per liter.
READ: Oil firms blame strong dollar for price increase
Most firms will apply their pump price hike on Tuesday morning, with Shell Pilipinas and Seaoil leading the price adjustments at 6 a.m. Other players are expected to make a similar announcement.
Department of Energy’s Oil Industry Management Bureau director Rodela Romero said on Friday that next week’s pump price adjustment was hinged on expectations that the Organization of the Petroleum Exporting Countries and its allies might extend voluntary output reductions by the second quarter of this year.
Romero also cited the “seasonal demand uptick” due to [the] forthcoming summer season as another reason for the fuel forecast.
“[There is also] an announcement of US (the United States) on the release of millions of barrels of gasoline product from government reserves to lower prices at the pump,” she added.
This week’s price announcement came a week after firms applied a 40 centavo increase per liter in both diesel and gasoline, and 30 centavos in kerosene.