Oil firms increase diesel prices by P1.90

Inquirer file photo

MANILA, Philippines — Oil companies are expected to implement hefty price hikes for petroleum products—as much as P1.90 per liter—next week.

Based on estimates by Rodela Romero, director of the Department of Energy Oil Industry Management Bureau, diesel may have the biggest jump ranging from P1.70 to P1.90 a liter.

Gasoline prices may also increase by P1.10 to P1.40 per liter, while kerosene may hike by P1.10 to P1.20 a liter.

For the past few days, Romero said oil prices had climbed due to the Hurricane Rafael that hit the United States, which could dampen the region’s output.

Delayed output hike

She also noted the delayed plans of the Opec+, made up of the Organization of the Petroleum Exporting Countries and allies led by Russia, to boost oil production next month.

The energy official said the US Federal Reserve’s plan to impose another round of interest rate cuts also affected trading in the past four days.

“Other contributing factors in the estimated increase for oil prices by next week are the depreciation of peso, the premium added to the purchase of the petroleum products and the freight cost,” she added.

Romero also reminded fuel retailers to adhere to the 15-day price freeze for liquefied petroleum gas and kerosene in areas under a state of calamity.