Oil firms hike gas price by 50¢

MANILA, Philippines - Caltex Philippines Inc., Seaoil Philippines and Phoenix Petroleum Philippines Inc. have raised their gasoline and diesel prices by 50 centavos and 25 centavos per liter, respectively.

The oil firms said the recent adjustment was due to the upward movement in the prices of refined petroleum products in the world market.

As of Oct. 5, Dubai crude averaged $80 per barrel from September’s $75 average, and diesel prices in the region reached $93 per barrel against $87 last month.

There was also a noted rise in gasoline prices in the international market to $88 per barrel compared to $83 in September.

Other oil companies are expected to follow suit.

LPG Marketers Association president Arnel Ty said they do not see any movement on prices of liquefied petroleum gas (LPG) at least for the next few weeks as demand in the market has been low.

“We are not increasing prices as competition is really stiff now at the market. Nobody wants to move their prices given the prevailing lower demand,” he said.

The contract price of LPG rose to $698 per metric ton this month compared to only $644 per MT last month.

Without considering market competition, Ty said this rise in international contract price should have resulted in a P2.50 per kilo increase on the domestic front.

But Ty said should they decide to increase the prices of their LPG products, they will do it on a staggered basis to cushion the impact on consumers.