A hefty price increase in gasoline and a slight price cut for diesel and kerosene takes effect tomorrow.
Tomorrow, oil products are seen to have mixed movements as announced by oil companies.
Oil firms confirmed tomorrow a price increase per liter for gasoline of ₱1.10 – ₱1.20 but diesel and kerosene prices would drop by ₱0.60 and ₱0.75, respectively.
Department of Energy’s (DOE) Oil Industry Management Bureau Director III Rodela Romero said this week’s oil price movement tis due to the continuing effect of the decision of the Organization of the Petroleum Exporting Countries (OPEC) and its allies to cut production by two million barrels per day.
“Due to seasonality of demand, implementation of OPEC cut and COVID surge in China pulled down demand,” said Romero.
Based on the data of the DOE, the total demand for oil products reached 13, 256 million liters (ML) for the first half, an increase of 9.6 percent vis-à-vis last year’s 12, 092 ML.
This can be translated to an average daily requirement of 73.2 ML compared to last year’s 66.8 ML.
The DOE said the growth in demand was due to increased economic activity and less stringent travel restrictions implemented nationwide.
Meanwhile, in the last week’s rollback, oil companies cut the per-liter prices of gasoline by ₱0.25, diesel by ₱0.60, and ₱0.25 for kerosene, respectively.
While in price monitoring of the DOE, the total price increase for gasoline to ₱15.85, ₱36.80 for diesel, and ₱28.95 for kerosene.
Tags: #OilPrice, #PriceHike, #OilCompanies