It’s a bit of mid-year sting on consumers’ pockets; as gasoline prices will rise by a hefty P1.00 per liter this week; while diesel prices will have upward adjustment of P0.65 per liter.
Another fuel commodity kerosene will also have higher prices this week by a scale of P0.70 per liter, as advised by the oil companies on their pricing advisory notices.
As of press time, the industry players that already announced their price hikes had been Pilipinas Shell Petroleum Corporation, Seaoil, Cleanfuel, PetroGazz, Chevron for its Caltex brand, and PTT Philippines effective Tuesday (June 29); while their competitors are anticipated to follow the pricing leads.
This is already the fifth time that fuel prices went up this June – and gasoline products so far accumulated total increase of P3.25 per liter; diesel by aggregate P2.70 per liter; while kerosene incurred total increase of P2.55 per liter.
Global oil prices had been on steady rise last week, with the Brent crude surging past US$76 per barrel amid projections of supply tightening in the world market.
Industry watchers are currently monitoring the outcome of the July 1 scheduled meeting of the Organization of the Petroleum Exporting Countries (OPEC) and its ally-producers – primarily, if news of increased production would help ease the incessantly escalating oil prices.
Forecasts of continued demand upticks have been reigning in oil markets, given economic rebounds already being posted by ‘super power’ nations – mainly the United States, China, European as well as
Middle East countries.
In Asia, economic recovery had been seen lagging in recent weeks because of recurrence of rising Covid-19 infections in various countries in the region; hence, in this part of the world, there is considerably gloomy oil markets outlook at this point.
The Philippine oil market, for its part, is confronted with prospects of wider re-opening of economic activities primarily in Metro Manila and neighboring provinces; as well as the very volatile value of the local currency versus the US dollar.
According to Department of Energy (DOE) officials, the foreign exchange rate as well as the cost swings of global oil prices would be areas to watch for in the coming weeks and months as the Philippine economy also braces for a bounce back to pre-pandemic levels.