Pump prices set to go down

MANILA, Philippines — Pump prices of petroleum products are expected to be rolled back by close to P1 per liter next week, according to the Department of Energy (DOE).

Based on the four-day trading in Mean of Platts Singapore, DOE-Oil Industry Management Bureau assistant director Rodela Romero estimated gasoline and diesel prices to drop by P0.70 to P0.95 per liter.

Meanwhile, the pump price for kerosene is seen going down by P0.80 to P0.90 per liter.

Romero said market sentiment would likely turn bearish amid expectations of abundant oil supplies and weak consumer demand.

“Likewise, the Gaza ceasefire negotiation threatens to erode the geopolitical risk premium of crude and petroleum products,” she said.

This came after global news agency Reuters, citing an unnamed US official, reported that talks regarding the ceasefire-for-hostages deal in the Gaza conflict were likely in the closing stages.

Romero added that the movement in domestic oil prices could also be due to the implementation of a 15-day price freeze for kerosene and liquified petroleum gas upon the declaration of the state of calamity in Metro Manila.

The final price adjustments will be announced on Monday and will take effect the following day.

Last Tuesday, the pump price of gasoline inched up by P0.10 per liter, while that of diesel and kerosene went down by P0.40 and P0.70 per liter, respectively.

Since January, gasoline, diesel and kerosene have increased, respectively, by P10.35, P7.75 and P0.50 per liter.