Relief is on the horizon for motorists as fuel prices are expected to go down next week, offering a welcome break after this week’s hefty increase.

Based on four-day trading in the Mean of Platts Singapore (MOPS), the international benchmark adopted by the deregulated downstream oil sector, the Department of Energy (DOE) projects a rollback of around P1.00 to P1.40 per liter for gasoline, P1.60 to P2.10 for diesel, and P2.00 to P2.20 for kerosene.

“The bearish factor that counterbalanced the bullish price last week is the announcement of President Trump of a possible ceasefire between Israel and Iran, thus crude oil future extends drop,” DOE Oil Industry Management Bureau director Rodela Romero said in a message on Friday. 

In a separate comment, Leo Bellas, President of Jetti Petroleum Inc. noted that “concerns over Middle East supply disruption eased following the ceasefire, with geopolitical risk premium on prices dropping sharply.”

“The market’s focus returned to fundamentals with the de-escalation of the conflict, with prices recovering from the drop early this week on the back of higher demand,” Bellas added.

The prospect of easing geopolitical tensions has helped temper global oil prices, reversing the sharp upward pressure that had been seen in recent weeks. Earlier this week, local pump prices rose by P3.50 per liter for gasoline, P5.20 for diesel, and P4.80 for kerosene. 

Final price adjustments will be announced by oil companies on Monday, which takes effect on Tuesday.