MANILA, Philippines – Barely a week after the sharp cuts in pump prices, Petron Corp., Pilipinas Shell Petroleum Corp. and Total Philippines Inc. rolled back yesterday liquefied petroleum gas (LPG) prices by P4 per kilo or P44 per 11-kg cylinder.
Petron public affairs manager Virginia Ruivivar said the drop in the international LPG contract prices prompted the rollback.
She said Petron is also set to cut the prices of its auto LPG products by P2.50 per liter.
Last week, oil companies including Petron and Shell implemented a big one-time rollback in pump prices. The rollback was P5 per liter for diesel, except for Unioil, which implemented a P6 per liter reduction.
The oil firms see further cuts by December if global crude prices continue to retreat.
Dubai crude, the pricing benchmark used by oil refiners, went down to an average of $68 per barrel as of Oct. 29 from $95.90 per barrel in September.
Gasoline in Mean of Platts Singapore (MOPS), the pricing gauge used by oil importers, went down to $81 per barrel as of Oct. 29 from $107.10 per barrel average last month.
LPG contract prices also dropped to $90 per metric ton in October from $121.04 in September.
This was the fourth rollback for October. Gasoline and diesel prices have gone down by a total of P15.50 per liter and P16.50 per liter, respectively, since August.
Execs meet on oil issues
President Arroyo will preside over a Cabinet meeting today in Laguna on the latest movements in the prices of oil in the world market.
Also to be tackled in the meeting is a review of the implementing rules and regulations on Executive Order No. 691, which sets triggers on which to base adjustments in tariff on imported petroleum products.
The tariff on imported petroleum products went back to three percent from one percent last week as prices of crude in the world market continued to drop.
Finance Secretary Margarito Teves last week said the return to the three-percent tariff is stipulated in the guidelines for EO 691. Tariff levels are reviewed every quarter. Considered in the review are prevailing prices of oil in the international market.
Officials said the reimposition of the three-percent tariff would have a minimal impact on pump prices.
The Cabinet meeting will be held at the Toyota Administrative Center conference room in Sta. Rosa, Laguna.
Mrs. Arroyo will also preside over a meeting of the National Economic and Development Authority Board regarding the construction of the $2-billion shipyard project of Hanjin Heavy Industries and Construction Corp. within the Philippine Veterans Industrial Development Corp. (Phividec) in Mindanao.
The discussion will reportedly center on the resumption of the project after local officials suspended it due to lack of permits.
Phividec chair Ofelia Bulaong will make a presentation on the issue. With Paolo Romero