CONSUMERS experienced another round of oil price cut as the oil firms rolled back the price of diesel by P0.25 per liter and kerosene by P0.15 per liter effective Tuesday.
The oil firms, however, did not cut gasoline prices. The latest price rollback, the fourth consecutive for March, reflected the softening of oil prices in the world market.
Pilipinas Shell Petroleum Corp., Petron Corp., Phoenix Petroleum Philippines, Unioil Philippines, Eastern Petroleum, Seaoil Philippines, PTT Philippines, and other oil firms implemented the price cut.
“Petron will implement the following price rollback effective 12:01 am March 28: P0.25 per liter for TurboDiesel and DieselMax and P0.15 per liter for kerosene,” Petron said.
On March 21, the oil firms also implemented a hefty price rollback of P1.20 per liter for kerosene, P1.10 per liter for diesel and P0.80 per liter for gasoline.
The oil firms also rolled back the price of kerosene by P0.70 per liter, diesel by P0.60 per liter and gasoline by P0.35 per liter on March 14.
Last March 7, the oil firms also cut gasoline prices by P0.55 per liter, kerosene by P0.20 per liter and diesel by P0.10 per liter.
“There is still oversupply of petroleum because of the low demand for these produces and in the US they are still building inventories…Production of shale gas has created oversupply in the market,” Energy Department director Melita Obillo said.
Oil prices have been going down in recent weeks due to continuing oversupply of oil products in the world market.
Other factors that led to the rollback include high compliance of the Organization of the Petroleum Exporting Countries’ to production cuts at 95 percent in February from 91 percent in January, increase in US oil rig count, among others.