Mixed pump price adjustments seen next week

MANILA, Philippines — Oil companies are expected to implement a mixed movement in pump prices next week, with gasoline prices seen going up while diesel could have a price rollback.

Department of Energy (DOE) Oil Industry Management Bureau assistant director Rodela Romero said that based on four-day monitoring on Mean of Platts Singapore, there could be a possible price increase of P0.40 to P0.60 per liter for gasoline for next week.

Meanwhile, she said there could be potential price reductions of P1.20 to P1.40 per liter for diesel, and P1.10 to P1.20 per liter for kerosene.

“Oil markets have eased as Saudi Arabia is truly ‘balancing’ by preparing to ship full volumes required by its North Asian customers, notwithstanding its output cuts. Added is the easing of sanctions to Venezuela, allowing more of its crude into the market,” Romero said.

An oil industry source, on the other hand, said next week’s price adjustments is still unpredictable, based on the first four trading days.

The source estimated a potential downward adjustment ranging from P1.25 to P1.35 per liter for diesel and a possible hike of between P0.40 and P0.50 per liter for gasoline.

Cleanfuel, on its end, said running trend points to a rollback of P1.30 per liter for diesel and an increase of P0.30 per liter for gasoline.

The final price adjustments will be announced by oil companies on Monday, which will take effect the next day.

Should the forecasted adjustments push through, it would extend the reductions in diesel to a second straight week and kerosene to a fourth successive week.

Meanwhile, it would end three consecutive weeks of rollbacks recorded for gasoline.

Last Tuesday, oil firms slashed prices by hefty amounts – P3.05 per liter for gasoline, P2.45 per liter for diesel and P3 per liter for kerosene.

These price adjustments resulted in a year-to-date net increase of P12.25 per liter for gasoline, P11.35 per liter diesel and P5.94 per liter for kerosene, data from the DOE showed.

DOE monitoring from Oct. 10 to 12 showed that prevailing retail prices of diesel and diesel plus products in Metro Manila ranged from P58.85 to P71.70 per liter and from P66.25 to P84.85 per liter, respectively.

Gasoline prices, meanwhile, ranged from P57.10 to P84.90 per liter, depending on the RON or research octane number of the fuel.

As for kerosene, prices monitored during the period ranged from P76.75 to P89.09 per liter.