Motorists can finally breathe a sigh of relief with the year's first fuel price rollback.
Effective Tuesday, Jan. 28, gasoline prices will decrease by P0.80 per liter, diesel by P0.20, and kerosene by P0.50.
Several oil companies, including Shell Pilipinas, Seaoil, and CleanFuel, have already announced these adjustments.
According to the Department of Energy's (DOE) Oil Industry Management Bureau (OIMB), the reopening of refineries and ports in the US Gulf Coast contributed to this slight price decrease. Additionally, the newly inaugurated US president has requested increased oil output from Saudi Arabia and OPEC members to combat rising fuel costs.
Lower shipping costs due to eased tensions in the Middle East have also helped facilitate smoother oil transport.
While this week brings welcome relief, potential price increases, particularly for gasoline, may be on the horizon.
The DOE OIMB anticipates that the upcoming Chinese Lunar New Year could increase gasoline demand in China. Analysts and researchers suggest this could lead to reduced exports to Asia and a possible price uptick by early February.
Despite the holiday, the DOE also noted that China plans to prioritize jet fuel exports, even with low demand, potentially leading to further kerosene price reductions soon.