Consumers can expect a rollback of as much as P0.90 per liter in the pump prices of fuel this coming Tuesday to reflect the latest movements in the world oil market.
Department of Energy Oil Industry Management Bureau (OIMB) director Rodela Romero said on Friday that her agency’s expectations of an oil price rollback next week are based on monitoring of the last four trading days in the international market.
She said they anticipate gasoline prices to decrease by P0.30 to P0.65 per liter, diesel by P0.30 to P0.55 per liter, and kerosene by P0.80 to P0.90 per liter.
“This estimated adjustment is triggered by the International Energy Agency’s continued expectation of an oversupplied oil market in 2025 even if OPEC+ holds production steady or continues to delay the unwinding of its voluntary production cuts. Final adjustments depend on the result of today’s trading,” Romero told reporters.
For his part, Jetti Petroleum president Leo Bellas said oil prices fell last week on worries about demand growth and supply surplus in 2025. –
Bellas said the US Federal Reserve’s cautious stance in cutting interest rates in 2025 also weighed on oil prices due to concerns that weak economic activity in the US could slow demand next year.
“However, the outlook of slightly tightening supplies in the short-term limited losses. Anticipated decline in US crude inventories and hopes for additional fiscal stimulus in China also provided support to prices. Further upside prices were limited by still-high regional stockpiles of gasoline and diesel, despite a pullback in supply resulting from a significant drop in exports from China and limited outflows from India and South Korea,” the oil executive said.
On Dec. 24, the oil companies implemented an increase in the price of petroleum products.
Gasoline increased by P0.50 per liter, diesel by P1.45 per liter, and kerosene by P0.75 per liter.
Year-to-date, the total adjustment of gasoline and diesel stands at a net increase of P13.05 per liter and P11.30 per liter, respectively. On the other hand, kerosene has a total net decrease of P1.80 per liter.