Consumers are up for another week of relief on their fuel budgets, as oil firms will reduce prices of gasoline products by P5.00 per liter, and diesel by P2.00 per liter effective Tuesday, July 19.

The oil companies similarly advised on a price reduction of P0.70 per liter for kerosene products, which will take financial load off slightly from affected industries, including the airlines.

As of this writing, Pilipinas Shell Petroleum Corporation, Cleanfuel, PetroGazz and Seaoil already sent notices of their price rollback effective Tuesday, July 19. The rest of their competitors are anticipated to follow.

The industry players are adjusting their prices by mainly anchoring it on the cost swings of the Mean of Platts Singapore (MOPS) index, but in recent weeks, the falling value of the Philippine peso had likewise been significantly influencing pump price movements, hence, the final rollbacks implemented ending up leaner.

Following this week’s cutback in petroleum prices, the resulting cost adjustments since the start of the year will already hover at P19.30 per liter for gasoline, P34.80 per liter for diesel; and P29.35 per liter for kerosene products.

From a seesaw of massive upticks and slight declines in the previous months, domestic pump prices had been substantially slashed in the past two weeks – and that somehow provided much needed ‘consolation’ to the Filipino consumers’ pockets – especially the public utility vehicle (PUV) drivers who have been endlessly complaining about slump on their daily take-home pay.

The downtrend in prices is still generally viewed though as ‘temporary financial solace’ by market watchers and global experts, hence, an import-dependent country like the Philippines is seen enduring several weeks or months more of rally in prices at the domestic pumps.

Fundamentals in the world market are still focused on the lens of a jittery situation because of economic recession fears; as well as the new wave of Covid-19 lockdowns in some parts of China; plus the niggling impact of the protracted Russia-Ukraine war.

Apart from the equally critical concern of thinning electricity supply in the country, one of the priority concerns already lodged to the incoming Energy Secretary of the Marcos administration will be on the immediate need to strategize on policy response to the lingering spikes in oil prices.

The marginalized segments, such as the public transport and agriculture sectors, are currently taking refuge on the financial subsidy extended by the government – but longer-term solutions are being pushed so the country will eventually advance on its energy security agenda. (MMV)