Price hike hits motorists; diesel up P2/L

Motorists will face a sharp increase in pump prices as local oil companies are set to implement a price hike across all fuel products amid escalating tensions in global oil markets.

In separate advisories on Monday, local fuel retailers said gasoline prices will go up by P1.20 per liter, diesel by P2 per liter, and kerosene by P1.70 per liter starting tomorrow morning.

The price adjustment reflects developments in the international market, according to the Oil Industry Management Bureau (OIMB) of the Department of Energy.

“Stronger refinery demand contributed to a counter-seasonal US crude oil inventory draw,” OIMB Director Rodela Romero said.

“Oil soars on prospects of new US sanctions on Russian oil companies over war with Ukraine, as announced by President Trump. Unresolved issues between Russia and Ukraine increase geopolitical risks,” she added.

Oil traders worldwide reacted strongly to the new sanctions announcement, which could restrict global supply and push up crude prices further.

Jetti Petroleum Inc. President Leo Bellas noted that sanctions on Russia—one of the world’s top crude exporters—are already causing ripple effects in Asia.

“Main reason is worries that the new sanctions by the US on Russia’s two biggest oil companies will have significant implications on the Asian market as Chinese state oil majors are set to suspend Russian oil purchases and refiners in India are preparing to sharply cut Russian crude imports,” Bellas said.

The latest adjustment followed last week’s mixed movement when gasoline prices increased by P0.10 per liter while diesel and kerosene prices declined by P0.70 per liter and P0.60 per liter, respectively.