Gas prices going up, lower for diesel and kerosene

MANILA, Philippines — Motorists may see higher gasoline prices, but enjoy lower diesel and kerosene prices next week, according to an official of the Department of Energy (DOE).

At the Laging Handa briefing yesterday, DOE-Oil Industry Management Bureau (OIMB) assistant director Rodela Romero said that based on the agency’s four-day monitoring, gasoline prices may increase from P0.45 to P1 per liter.

On the other hand, diesel prices may decrease by P0.60-P0.75 per liter and kerosene prices by P0.75-P0.85 per liter.

Romero, however, cautioned that these figures may still change depending on the Friday trading.

Among the factors influencing the fuel price movements is the seasonality of demand due to the winter season in other countries, the DOE official said.

There are also lingering worries over the Russia-Ukraine war.

Romero also said global inflation has caused fears of a possible recession, which could lower demand.

The surge in COVID cases in China, the world’s largest importer, also affected demand for diesel.

In a phone interview, DOE-OIMB director Rino Abad said the market is also speculating over the two-million barrels production cut of the Organization of Petroleum Exporting Countries (OPEC) scheduled this month.

“If the production cut will push through, there is expectation of increase in oil prices. It’s a bonus for us if production will not be reduced,” he said.