BIG-TIME OIL PRICE HIKE SEEN NEXT WEEK

Fuel prices to go up by Tuesday next week by over P1.10 per liter as per as the Department of Energy (Photo courtesy of Manila Standard)

The Department of Energy-Oil Industry Management Bureau (DOE-OIMB) announced that petroleum products may increase as much as P1.10 per liter after a week of price rollback on the second week of August.

According to DOE-OIMB Director Rodela Romero, the estimated big-time hike will be P0.65 to P0.90/liter for gasoline and P0.95-P1.10/liter for diesel and kerosene based on the first four days of trading in Mean of Platts Singapore which is the benchmark of oil importers.

“Oil prices surged at the early part of the week driven by the fear of an escalating Middle East tension that could threaten production in one of the world’s major oil sources as Iran vows retaliation,” Romero said.

“The easing of the US monetary policy and the fear that subsided on the possible US recession added to the bullish part of oil price. Likewise, OPEC (Organization of the Petroleum Exporting Countries) expressed an optimistic outlook on the demand that contradicts the IEA (International Energy Agency),” she added.

A big-time price rollback was just implemented this August 13 by oil companies reaching P2.45 per liter for gasoline, P2.40 per liter for kerosene and P1.90 per liter for diesel.

Four weeks in a row of oil price rollbacks for gasoline, kerosene, and diesel will come to an end with the expected increase in oil prices.

Source: Philippine Star 

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