The oil firms increased the price of liquefied petroleum gas (LPG) by as much as P0.95 per kilo or P10.45 per 11 kilo tank effective February 1.
“Petron will implement a P0.95/kg (VAT-inclusive) increase in LPG prices effective 1200H Feb 1. This reflects the international contract price of LPG for the month of February,” the company said.
Rival Solane LPG said it is increasing its LPG brand by P0.91 per kilo (VAT inclusive).
The LPG contract price (CP), commonly called the “Saudi CP” drives LPG pricing in the Far East including the Philippines.
The Department of Energy (DOE) said it is the international price benchmark set at the beginning of each month by Saudi Aramco.
The DOE said the LPG contract price went up by $10 to $637 per metric ton in February from $627 per MT in January.
DOE said an 11-kilo tank will range from P930.45 to P1,110.45 after the adjustment.
“Like all other petroleum products, the Philippines has no influence over the LPG CP as the country’s domestic requirement is small versus the world demand,” the agency said.
The higher LPG prices followed the hefty price hikes for gasoline of P2.80 per liter, diesel at P1.30 per liter, and kerosene at P0.45 per liter since Tuesday (Jan. 30) amid the ongoing issues in the world oil market.