Motorists may not have much time to enjoy this week’s fuel price relief, as another hefty pump price increase is shaping up for next week — with the projected diesel hike threatening to erase nearly all of the latest rollback.

Industry forecasts point to an increase of P2.50 to P3.00 per liter for gasoline and a steeper P3.75 to P4.25 per liter for diesel next week.

Rise in gasoline and diesel prices

If the forecast holds, Metro Manila gasoline prices could climb to an estimated P66.70 to P97.47 per liter, depending on the fuel grade and station.

Diesel could rise to around P79.45 to P98.15 per liter, while Diesel Plus could reach P90.45 to P101.55 per liter.

The potential increase would quickly eat into the savings consumers received this week, when gasoline prices dropped by P4.70 per liter and diesel by P4.30 per liter.

Jetti Petroleum Inc. president Leo Bellas said Friday that the renewed upward pressure stems from a global oil market that has grown increasingly doubtful about prospects for easing supply disruptions.

Peace deal fade

“World oil prices rose this week as optimism for a peace deal and near-term reopening of the Strait of Hormuz traffic faded, with markets becoming more skeptical as negotiations are now further complicated by competing demands for compensation over the five-month conflict,” Bellas said.

Supply concerns are also keeping the market on edge.

Bellas said continued declines in global inventories are adding pressure to an already tight market, with Middle East Gulf flows and Black Sea exports constrained and the possibility of sanctions-related disruptions threatening to further restrict crude availability.

The squeeze is particularly evident in refined fuels.

“Diesel and gasoline prices surged as diplomatic efforts to reopen and normalize transit through the Strait of Hormuz have stalled, and the continued decline of global product inventories due to refinery output disruptions is keeping markets tighter than crude,” Bellas said.