Manila, Philippines — The Department of Energy (DOE) and oil industry sources have reported that motorists may expect a decrease in fuel prices next week. The DOE-Oil Industry Management Bureau Assistant Director, Rodela Romero, has confirmed that petroleum products’ prices will roll back based on oil trading in the past four days. The average price of diesel may be reduced by P0.10 to P0.40 per liter, while gasoline prices may be cut by P0.50 to P0.80 per liter.
Fuel companies are expected to announce price adjustments every Monday, which will be implemented the following day. In its fuel forecast for June 6-12, Unioil Petroleum Philippines predicts that diesel prices may decrease by P0.20 to P0.30 per liter, while gasoline prices may go down by P0.40 to P0.60 per liter.
Current oil prices are suffering a slump due to supply risks and China’s weak economic data. According to Romero, the DOE Oil Industry Management Bureau Assistant Director, the outcome of the Russia and OPEC+ meeting on June 4 remains uncertain. Despite this, the industry is not anticipating any new production cuts at this time.
The previous price adjustment was implemented on May 30 when gasoline prices were increased by P1.10 per liter, while the price of kerosene was decreased by P0.60 per liter. For diesel, there was no movement in its price. As a result of these price movements, there has been a net increase of P6.10 per liter for gasoline and a net decrease of P5.05 per liter and P6.75 per liter for diesel and kerosene, respectively, year-to-date.
Data from the DOE’s price monitoring as of June 1, 2023, reveals that prices of petroleum products vary across the country. In Quezon City, the largest city in Metro Manila, gasoline ranged from P53.60 to P67.20 per liter, while in Makati City, the country’s top financial hub, diesel prices ranged from P51.41 to P57.68 per liter. Meanwhile, in the Philippine capital Manila, kerosene prices ranged from P65.06 to P68.90 per liter.
The decrease in fuel prices next week would be a welcome relief for motorists who have been grappling with rising prices amid pandemic-induced economic difficulties. The reduction in fuel costs may help ease the burden on households’ budgets and provide some breathing space for those who rely heavily on transportation for their livelihood. Furthermore, the decrease in fuel prices may also have a positive impact on inflation rates, which could help the country’s economy recover faster.
These variations, while expected due to differences in location and demand, can have a significant impact on the daily expenses of Filipinos. The DOE’s efforts to monitor these prices and provide transparency to the public are commendable, as it allows consumers to make informed decisions when purchasing fuel products.
However, more work needs to be done in finding ways to provide more affordable and sustainable energy solutions for the country. Through continued investment in alternative energy sources and exploring new technologies, the government can ensure energy security, mitigate climate change, and promote sustainable development.