Oil firms roll back gas prices

MANILA, Philippines - Oil giants Petron Corp. and Pilipinas Shell Petroleum Corp. are rolling back prices of their gasoline products by 70 centavos to P1 effective today.

Shell and Petron officials said they are reducing the prices of premium gas by P1 per liter, kerosene by 90 centavos, and diesel and regular gas by 70 centavos.

“This is to reflect price adjustments in the international market,” Petron said. 

Other oil firms are expected to announce their price rollbacks this week.

Last Monday, Petron, Shell and Seaoil Philippines cut prices of their petroleum products, except for premium gasoline.

Diesel price was reduced by 50 centavos per liter, kerosene by 40 centavos and regular gasoline by 30 centavos, but they increased the price of premium gasoline by 30 centavos per liter.

“Crude oil fell further from April 2-6 by an average of one dollar amid revived talks on Iran’s nuclear program,” the Department of Energy (DOE) said.

“The resumption of talks has tempered worries about an immediate oil supply disruption,” the DOE said.

Since the start of the year, price of oil has increased 11 times as against five price reductions.

As of April 10, net increase for gasoline and diesel stood at P6.85 per liter and P3.30 per liter, respectively, based on DOE data.

Under the Downstream Oil Industry Deregulation Act of 1998, oil firms can price their products based on market forces to encourage competition.

The deregulation law prohibits the government from intervening or influencing the pricing schemes of oil companies.

The DOE, however, has asked oil firms to report to the department any price adjustment before its implementation.

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