Motorists should brace for another fuel price hike next week due to tightening global oil production.
Department of Energy - Oil Industry Management Bureau Director Rodela Romero said in a message Friday that gasoline prices are expected to increase by P0.40 to P0.70 per liter, diesel by P0.45 to P0.75 per liter, and kerosene by P0.65 to P0.75 per liter.
This week, fuel prices already rose by P1.00 per liter for gasoline and kerosene, and P1.40 per liter for diesel.
The forecasted price adjustments are based on the four-day trading average of the Mean of Platts Singapore and prevailing trends in the international oil market.
Romero attributed the projected increase to several global factors, including a reduction in oil output from the Organization of Petroleum Exporting Countries (OPEC) and Russia in December, which has tightened supply.
She also cited a robust U.S. employment report showing low layoffs and rising job openings, reflecting strong economic activity that has driven demand for fuel.
In Asia, China's recent economic stimulus package is expected to boost regional oil consumption, further supporting price increases.
“Due to cold blasts in the US and Europe where several US states have declared a state of emergency,” Romero added.
Last year, gasoline and diesel recorded a total net increase of P12.75 per liter and P11.00 per liter, respectively, while kerosene saw a net decrease of P2.70 per liter.