DOE sees continuous hike in fuel prices

STILL UP Fuel prices continue to rise. —INQUIRER FILE PHOTO

The pump prices of petroleum products may continue to go up this quarter as major oil producers are expected to extend production cuts, according to the Department of Energy (DOE).

This projection came after local oil companies implemented another increase in prices on Tuesday, Feb. 6, for the fifth consecutive week since the beginning of the year.

The prices per liter of gasoline climbed by P0.75 and diesel by P1.50. The price of kerosene likewise went up by P0.80 per liter.

Caltex implemented the price adjustments by 12:01 a.m., followed by Shell and Seaoil at 6 a.m., and CleanFuel at 4:01 p.m.

Rodela Romero, director of the DOE Oil Industry Management Bureau, attributed the price hikes to drone attacks and fires “designed to disrupt supply lines and logistics” in Russia’s oil facilities.

However, Romero also clarified in a text message to the Inquirer that despite the expected increase in the coming months, there were still “lingering factors that push prices down.”

Extra supply

These were the additional supply from other oil-producing countries and “doubt that the said cut would happen,” she said.

Late last year, members of the Organization of the Petroleum Exporting Countries agreed to cut production by 2.2 million barrels per day throughout the first quarter of 2024.

READ: Fuel prices to increase by up to P1.50 per liter on Feb 6

On Jan. 30, the prices per liter of gasoline rose by P2.80, diesel by P1.30 and kerosene by P0.45.

This resulted in a year-to-date net increase per liter of P4.40 for gasoline and P2.60 for diesel, according to the DOE.

Kerosene, on the other hand, had a net decrease of P0.05 per liter.

Data from the DOE also showed that prevailing retail prices in Metro Manila ranged from P52.90 to P82.06 per liter as of Feb. 1. INQ