"Secretary Perez was instructed by the President to try some economic diplomacy by talking to the economies that we know who are in OPEC to try to have a discussion on the impact on oil prices which is the main concern of non-OPEC countries," Energy Undersecretary Jose Emmanuel de Dios said.
The Department of Energy (DOE) said the high oil prices will further go up with OPEC’s move to cut production starting April 1.
The DOE noted that the benchmark Dubai crude averaged $30.87 per barrel in March. On March 24, Dubai crude hit $31.90 per barrel, its highest level since the US-Iraq war. At the height of the war against Iraq, Dubai crude peaked at $31.18 per barrel.
Average-to-date price of Dubai crude is now at $30.91 per barrel or $2.30 higher than the $28.61 per barrel average in February.
On the other hand, Mean of Platts Singapore (MOPS)-based gasoline also averaged $44.02 per barrel compared with the $39.87 average in February. Regional price of diesel slightly improved to $38.29 per barrel from $38.80 average in February.
De Dios said the DOE will assess the impact on local fuel prices citing the volatility in the world market.
"We would have to wait for a few days more to see how the market moves. There is uncertainty now because just last Feb. 10 we anticipated that OPEC would not announce anything but then it started to cut production this month," he said.
Oil companies raised their prices two weeks ago by P0.60 per liter for gasoline products and P0.40 per liter for kerosene, saying the adjustment was required to recover their increasing crude and product costs. They also cited the faltering peso which continues to weaken against the dollar.