P.50 GAS HIKE SEEN
Diesel prices to remain unchanged
With the upswing in international prices, the good tidings on rollbacks ceased this week, as the price of gasoline is anticipated to go up by ₱0.40 to ₱0.50 per liter next week, based on the assessment of the industry players.
For diesel, the assumption is that it will not likely move or if there is a rollback, it will be at a very marginal ₱0.05 per liter or it could also be an increase of ₱0.10 per liter.
Kerosene, which is another product used by many Filipino households, will have a price rollback ranging from ₱0.25 to ₱0.35 per liter, oil firms have hinted. Movements at the pumps are anticipated Tuesday.
The oil companies said what they have as reference data at hand was the swing in Mean of Platts of Singapore as of the four trading days last week.
As of weekend, they noted that they are re-evaluating what could have been the impact on prices of the outcome of trading in the regional market last Friday.
Domestic consumers were able to enjoy two months of financial relief when it comes to their fuel expenses – given the hefty prices cuts that the oil companies had implemented in eight straight weeks.
Pump prices in the country are anchored on movements of prices in the world market – one benchmark is the MOPS primarily for finished product importers, while refiners Petron Corp. and Pilipinas Shell Petroleum Corp. are also taking a look at the price twirl of crude commodities.
Price spikes reigned in the world market last Friday following the cemented deal between the Organization of the Petroleum Exporting Countries and its ally producers for an output cutback of 1.2 million barrels per day.
OPEC producers had given thumbs up to 800,000 barrels per day production trim while Russia-led producers in the alliance committed to reduce output by 400,000 barrels per day.
This is a new round of “market rebalancing” similar to what the Vienna alliance of OPEC and Russia had done during the price crash towards the end of 2014.