Diesel prices to increase by P1.0 to P1.20/liter; gasoline to decline by P1.50 to P1.60/liter

Motorists should brace a mixed movement of fuel prices next week, with diesel reversing its two straight weeks of rollback as its price is expected to increase by P1.00 to P1.20 per liter.,Based on the oil trading data in the past five days as per the Mean of Platts Singapore (MOPS), oil company Unioil estimated that gasoline is expected to decline by around P1.50 to P1.60 per liter.,Data from the Department of Energy (DoE) as of 24 May showed that the year-to-date adjustments of fuel prices stood at a net increase of P29.10 per liter of diesel, P25.55 per liter of gasoline, and P25.20 per liter of kerosene. ,This week, oil companies implemented a price increase in gasoline by P3.95 per liter contrary to diesel and kerosene that dropped by P2.30 and P2.45 per liter, respectively.,Oil companies announce price adjustments every Monday to be implemented on the following day’s morning.,They adjust their prices every week based on the movement of the MOPS— the regional pricing benchmark adopted by the deregulated downstream oil sector.,Being a net importer of oil, importers and even the government cannot assure motorists of a continued oil price deduction because the country is directly affected by the volatility in the international market.,At a recent press briefing, Energy Undersecretary for Special Concerns Benito Ranque said prices of petroleum products may instantly be reduced by P3.26 per liter for gasoline and P1.40 per liter for diesel if the 19th Congress enacts a legislative measure to suspend the Bio Fuels Act of 2006. ,The law mandated the use of additives, which Ranque pointed out imposed extra passed on cost to consumers.,“Public transportation and small business will directly benefit from this measure. But that is just for the immediate concern,” Ranque said. ,He added that the government should actively run after fuel smugglers, strike an equitable deal and forge partnership with oil-producing countries as part of its long-term plans.