Pump prices set to fall by up to P4.88/L

MOTORISTS are expected to get relief at the pumps this week as fuel prices are set to decline by more than P4 per liter (L), according to the Department of Energy (DoE).

In an advisory on Monday, the DoE said gasoline prices would fall by P4.70 per liter, diesel by P4.30 per liter and kerosene by P4.88 per liter starting Aug. 11.

“These changes are driven by movements in the global oil market, amid ongoing developments in the Middle East that are affecting global supply and prices,” the agency said in Filipino.

Seaoil Philippines, Inc. said it would implement the same price adjustments.

The latest cuts will bring prevailing prices in the National Capital Region to as high as P94.47 per liter for gasoline, P97.30 per liter for diesel plus and P131.22 per liter for kerosene.

Leo P. Bellas, president of Jetti Petroleum, Inc., attributed the decline in gasoline and diesel prices to a sharp drop in crude prices amid expectations that shipping conditions in the Middle East could gradually improve.

He said the relaxation of China’s clean-product export ban and the resumption of refined fuel exports boosted gasoline and diesel availability, easing regional supply pressures and Asian price benchmarks.

Crude prices later rebounded, however, as uncertainty returned over the reopening of the Strait of Hormuz and the resumption of oil flows from the Middle East.

The developments highlight the continued volatility in global oil markets, with supply conditions and geopolitical risks remaining key factors influencing local pump prices. — Sheldeen Joy Talavera