The increase is a result of rising world market prices of crude oil, they said.
Fernando Martinez, president of the Independent Philippine Petroleum Corporations Association (IPPCA), said early last week that they expect their members to effect an oil price hike because of rising crude prices in the region.
"The increase is a result of continuing escalation of international finished product prices, with oil hitting fresh 21-year highs last Friday," Martinez said.
It was not immediately known if Petron Corp., the country’s largest oil company, will follow suit.
The increase in prices was contrary to an earlier prediction by consumer advocate Raul Concepcion that pump prices will stay.
The IPPCA is a group of 12 companies engaged in the importation, trading and retailing of fuel and other petroleum products.
Last week, the IPPCA refuted the pronouncement of Concepcion, who heads Consumer Oil and Price Watch (COPW), that there will be no price increases this month and next month.
"Press statements recently released by COPW regarding expected oil price movements in the months of July and August are clearly misleading," IPPCA executive director Hector Fajardo said.
Fajardo said ""by setting false expectations, the COPW with its irresponsible comments put the entire oil industry in a bad light and may cause unrest in consumers who expect no price movements during a time where upward price movements are sure to take place."
Citing its own data, the IPPCA said oil companies have under recoveries of 78.3 centavos per liter for unleaded and P3.81 per liter for diesel as of July 27.
"There is no doubt that the COPW has good intentions in its role as public informer. However, good intentions coupled with short-term reference data can result in a mistaken understanding of where the market is headed," Fajardo said.
Before the latest oil price hike, Martinez said they will be increasing pump prices by about 30 to 60 centavos per liter.
"Whether tariff hike is implemented or not, price hike of 60 to 70 centavos per liter is likely by the end of the week or up to the first week of August," Martinez said.
Dubai crude, being used as benchmark in local pricing, as of July 26 averaged $34.46 per barrel versus the June average of $33.43.
The Mean of Platts Singapore (MOPS) for gasoline averaged $46.07 per barrel as of July 26 from the June average of $45.19 per barrel. MOPS is the basis of oil importers for pricing their products.
MOPS for diesel reached $45.68 per barrel to date from $42.84 per barrel in June.
Concepcion, on the other hand, argued that the oil firms have no basis for increasing prices of petroleum products. He said the easing of oil prices in June versus May should have resulted to a P1.50 per liter roll back for gasoline and 57 centavo per liter for diesel.
"The amount should be used to offset any price increase in July," Concepcion said.