Local retailers announced a P0.80 per liter increase in both diesel and kerosene, while gasoline prices will rise by P0.90 per liter, effective today. The increase in fuel prices is a result of a tightening global supply, with OPEC and Russia’s reduction in oil output.
Motorists will have to pay nearly P1 more for every liter of fuel sold at local pumps this week, largely due to tightening global oil production, among other factors.
In separate advisories on Monday, local retailers announced a P0.80 per liter increase in both diesel and kerosene, while gasoline prices will rise by P0.90 per liter, effective this morning.
Rodela Romero, director of the Department of Energy Oil Industry Management Bureau, explained that this second consecutive week of price hikes were driven by several global developments.
Key among these is the reduction in oil output from the Organization of Petroleum Exporting Countries and Russia, which has tightened global supply.
Romero also pointed to a robust US employment report, showing low layoffs and rising job openings, reflecting strong economic activity that has driven fuel demand.
Additionally, As of 7 January, oil companies have already implemented a P1 per liter increase in both gasoline and kerosene, while diesel prices have risen by P1.40 per liter.
The increase in fuel prices is a result of a tightening global supply, with OPEC and Russia’s reduction in oil output.
Last year, gasoline and diesel saw total net increases of P12.75 per liter and P11.00 per liter, respectively, while kerosene experienced a net decrease of P2.70 per liter.