LPG prices drop

Petron Corp., the country’s largest oil refiner, rolled back yesterday the price of its liquefied petroleum gas (LPG) or cooking gas products by 50 centavos per kilogram.

Caltex also cut the price of its LPG by 56 centavos per kilogram effective midnight yesterday.

Other large LPG suppliers – Pilipinas Shell Petroleum Corp., Chevron Philippines Inc., and Total Philippines Inc. – had yet to follow Petron and Caltex’s move as of press time.

This month, the oil companies and the Department of Energy (DOE) have been anticipating a P1 price reduction in LPG due to a drop in its international contract price.

Energy Secretary Raphael Lotilla said the drop in contract prices abroad would trigger price cuts on LPG this month.

"The LPG price cut would be triggered by the $20 per metric ton drop in LPG international contract price," he said.

The LPG international contract price is determined and set on a monthly basis. This is being used by local oil companies as basis in pricing their products since most of the LPG products are imported. – Donnabelle Gatdula