Oil price hike to greet motorists next week

MANILA, Philippines — Following a recent rollback, motorists can expect fuel prices to increase in the second week of the year.

The Department of Energy estimated upward adjustments of P0.40 to P.70 per liter for gasoline, P0.75 to P1 per liter for diesel and P0.70 to P0.80 per liter for kerosene.

The estimates were based on the trading in the international oil market for the past four days.

Oil Industry Management Bureau assistant director Rodela Romero traced the fuel price hike to recent developments, including OPEC+’s decision to extend production cuts of 2.2 million barrels per day until April.

Romero said demand for heating fuels in the US and Europe is likewise seen growing amid potential “severe cold blasts” this month.

Also exerting upward pressure on domestic pump prices are the ongoing geopolitical risks and trade tensions abroad, which could cause volatility in oil prices in the short term.

Yesterday’s trading would determine the final price adjustments, which will be announced on Monday and will take effect the following day.

In the very first week of 2025, oil companies implemented a rollback of P0.30 per liter for gasoline and diesel and P0.90 per liter for kerosene.