Gasoline price on rollback by P1.00 liter; diesel by P0.70/liter

gasoline

Prices of liquefied petroleum gas (LPG) is anticipated be rolled back by P5.00 to P5.60 per kilogram this month making Filipino households will get financial relief on their cooking fuel budget.

11-kilogram cylinders used by households will have a total cost reduction of P55 to P61.60, according to initial calculations provided by the industry players.

LPG firms qualified that trading will still wind up at 4:00pm on Friday (May 31), hence, the actual adjustment might still change but the final number seen will be price cut of more than P5.00 per kilogram.

In gasoline products where the calculated rollback for next week will also be substantial at approximately P1.00 per liter; and diesel by P0.70-P0.80 per liter, as told by oil companies with them qualifying though that such had been based on just the four-day outcome of trading in the week.

LPG costs in the country moves on a monthly basis, and often hinged on the contract prices of Saudi Aramco with the pricing reference being employed by Asian markets.

Having this downtrend in cooking fuel cost, it is similarly anticipated that the price of LPG used in automobiles – chiefly the taxi fleets in the Philippines, will also be reduced this month.

Such price rollbacks are due to be enforced this June 1 (Saturday), based also on the latest directive of the Department of Energy (DOE) that the cost of LPG commodities be adjusted every first day of the month.

A Circular issued by the DOE show it similarly directed that pricing adjustments for liquid fuels being retailed at the pumps be applied every Tuesday of each week.

From here on, the energy department designated that it must take the oil companies to task that all of their pricing adjustments shall be data-based and up to the dictum of transparent pricing parameters.

The department asserted, “These enhancements will provide the DOE and other relevant government agencies with the necessary data to formulate proactive and appropriate policy initiatives for the benefit of the consumers and the downstream oil industry.”

Local petroleum prices often adjust dependent on cost movements in the world market – and June will be an interesting period for oil markets due to array of anticipated developments.

Most watched is the scheduled meeting of the Organization of the Petroleum Exporting Countries (OPEC) and the Russian-led alliance of oil producers, chiefly if they would finally end the “market rebalancing strategy” that had been leaning on imposed production cuts.

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