Gas falls 90 centavos but diesel price rises

(UPDATE) THE cost of gasoline dropped by nearly a peso on Tuesday, while the prices of diesel and kerosene went up.

Oil companies raised diesel prices by 60 centavos per liter and kerosene by 80 centavos per liter.

The Department of Energy (DoE) said this week's fuel prices were dictated by oil-related developments around the globe, particularly the decision of the Organization of Petroleum Exporting Countries (OPEC) and its allies to extend oil barrel production cuts until 2025.

OPEC+ extended its first cut of 3.66 million barrels per day from June up to the end of the year. The first cut was first implemented in September 2022, the DoE said.

OPEC+ is expected to phase out the cuts of 2.2 million barrels per day from October through September 2025 as it waits for interest rates to subside and get a better growth trajectory, the DoE said.

For this year, the price of gasoline has gone up by P6.65 per liter and diesel by P5.55 per liter.

The price of kerosene has dropped by 25 centavos per liter.