No merry Christmas: Hefty oil price hike seen next week

MANILA, Philippines — Hefty price increases at the pumps await motorists for the final week of 2023.

Department of Energy (DOE) Oil Industry Management Bureau assistant director Rodela Romero said results of four-day trading showed potential increases of over P1 per liter for diesel, gasoline and kerosene next week.

Specifically, prices of gasoline and diesel are both expected to rise by P1.40 to P1.60 per liter, while that of kerosene could go up by P1.60 to P1.80 per liter.

Romero said these come as oil prices surge amid growing avoidance of the Red Sea by oil companies and tanker owners, as a rebel group ramped up attacks on vessels in the region.

“Said adjustments were tempered by signs of unexpected buildup in US crude stockpiles and talks over a potential ceasefire in the Israel-Hamas war,” she said.

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

Last Tuesday, local oil firms implemented mixed adjustments at the pumps, with diesel prices increasing by P0.10 per liter, kerosene decreasing by P0.85 per liter, and gasoline seeing no movement.

These price movements have resulted in a year-to-date net increase of P3.95 per liter for diesel and P11 per liter for gasoline, data from the DOE showed.

Kerosene, meanwhile, has registered a year-to-date net decrease of P0.31 per liter.