Consumers are in no luck this week as they will need to bear the brunt of  massive oil price hikes at the domestic pumps - with gasoline prices rising by hefty P2.80 per liter, based on the pricing advisories of the oil companies.

For diesel products, the oil companies announced that the price of this fuel commodity will climb by P1.30 per liter; while kerosene prices will have a relatively moderate increase of P0.45 per liter.

As of press time, the oil companies that already sent notices on their price increases effective Tuesday (January 30) had been Shell Pilipjnas Corporation, Seaoil, Cleanfuel, Unioil and Jetti Petroleum; while their competitor-firms are all anticipated to follow this week’s pricing trends.

Prior to the forthcoming round of upward adjustments, a monitoring report of the Department of Energy (DOE) has shown that prices since the start of the year already logged net increases of P1.60 per liter for both gasoline and diesel products; while there was still aggregate reduction of P0.40 per liter for kerosene products.

Last week’s prices had been on wild upswing due to confluence of factors – primarily the intensifying geopolitical risks as well as demand growth prospects due to favorable economic data reported by the United States, the world’s biggest oil consumer.

Market watchers reiterated the cost impact of the lingering market premium being integrated in weekly oil price movements due to the rerouting of product deliveries as an upshot of the escalating conflict at the Red Sea – prompted by assault of the Houthi rebels which already ignited retaliation from the United States and United Kingdom.

The series of geopolitical and economic developments triggered upticks in prices last week beyond the $83 per barrel level – or an escalation of more than $3 per barrel compared to the prior week.

As of Monday (January 29) trading, international benchmark Brent crude jumped higher at more than $84 per barrel – signifying then that if the elevation in prices will be sustained, another round of price hikes will torment Filipino consumers at the pumps again next week.

Apart from the Israel-Palestine strife and the lingering Russia-Ukraine war, Iran’s move to join the fray has been aggravating overall tension in the Middle East, hence, exerting further pressure on global oil prices.

For the Philippine market, the swell in fuel prices will not just ignite financial pinch on the individual wallets and paychecks of consumers, but this will also spark off new round of spiral in the country’s inflation rate.