Oil companies raised pump prices by P2.30 per liter for diesel, P1.40 per liter for gasoline and P2 per liter for kerosene at 6 a.m. Tuesday to reflect increases in the world price for oil.
PTT Philippines, Eastern Petroleum, Jetti Petroleum, Chevron Philippines, Petro Gazz and Pilipinas Shell issued separate statements about the hefty price increases.
Eastern Petroleum said the recent price increase “only factors the increase in world oil prices and not the second tranche of the Tax Reform for Acceleration and Inclusion [TRAIN] Law.”
Gas stations are also expected to impose higher excise taxes under the TRAIN Law this week, which will add P2.24 per liter—including a value-added tax—to pump prices for both diesel and gasoline.
On Jan. 8, oil companies raised prices by P0.80 per liter of gasoline, P0.70 per liter of diesel and P0.40 per liter of kerosene after Saudi Arabia said it would cut its oil production.
World oil prices went up as demand is expected to increase in February.
So far, the Department of Energy has monitored 444 retail gas stations that monitored 444 retail gas stations that have imposed higher excise taxes as of Jan. 10 but there are a total of 8,006 retail stations nationwide.
DOE, through its Oil Industry Management Bureau, noted that 369 outlets are from Petron Corp., 46 from Pilipinas Shell Petroleum Corp. and 29 from Flying V.
DOE has not issued an updated monitoring report.
Energy officials previously said they expect the entire 8,006 retail stations to impose the additional excise tax by February at the latest.
The DOE-OIMB said that a retail outlet’s imposition of excise tax depends upon how quickly they exhaust their 2018 inventory.
Only new inventories in 2019, directly imported or locally produced by refineries, are covered by the second tranche of excise tax.
The agency said the level of inventories varies depending on the status of individual depots and retail outlets and product turnover.
READ: Opec: Oil prices to recover early 2019