DOE: Fuel prices to remain volatile

CEBU, Philippines — Fuel prices in the country are expected to remain volatile as the conflict in the Middle East continues to affect global crude oil prices, Department of Energy (DOE) Secretary Sharon Garin said.

Garin, in a virtual press conference yesterday, said crude oil prices in the international market had reached about $100 per barrel, following successive increases driven by developments in the Middle East, particularly tensions involving the Strait of Hormuz and oil infrastructure in Saudi Arabia.

She said the movement of international oil prices showed a direct correlation with developments in the conflict.

Garin cited several developments in September that were followed by corresponding movements in crude oil prices, including intensified fighting, attacks involving oil routes, and stalled peace talks.

When diplomatic efforts appeared to ease tensions, oil prices also declined, she said.

The DOE monitors these international developments in determining domestic fuel price adjustments, along with other factors such as transportation and insurance costs and the peso-dollar exchange rate.

“Every time po may conflict, every time may balita na mukhang wala pong progress ang peace talks o wala pong sign of ending the conflict, gumagalaw yung presyo ng barrels,” Garin said.

For the September 22 to 28 price period, gasoline prices increased by P4.88 per liter, while diesel and diesel plus rose by P8.82 per liter. Kerosene prices also increased by P6.47 per liter.

Garin said pump prices could continue to experience erratic movements as long as uncertainty surrounding the Middle East conflict and peace talks persists. — (FREEMAN)