Fuel pump prices will see a rollback of at least P2 per liter for both diesel and gasoline by Tuesday, November 13.
Oil firms announced on Monday that diesel prices will be lowered by P2 per liter and gasoline by P2.30 per liter. The move is the biggest yet for the last five consecutive weeks of price cutting.
According to the Department of Energy (DOE), the prices for gasoline and diesel decreased by USD2.0 and USD2.20 per barrel, respectively, for the period of October 29 to November 2. This data was gathered by the Mean of Platts Singapore Index, a pricing basis for a refined products in Southeast Asia.
The average price for fuels last week put diesel at P45.60 per liter and gasoline at P56.30 per liter.
Besides the lowered global market prices for fuels, the strengthening of the peso is seen as another reason for the price rollback. Local currency appreciated by P0.21 against the dollar last week, compared to its standing the previous trading week.
“Year-to-date adjustments are now at a net increase of PHP6.20/liter for gasoline, PHP9.10/liter for diesel and PHP8.28/liter for kerosene,” sad the DOE.
While at a Palace briefing last week, DOE Secretary Alfonso Cusi expressed belief that world oil prices will stay below USD80 per barrel. He cited increased oil production and lighter sanctions imposed by the United States against Iran as reasons for his optimism. Recently, the United States granted a waiver to eight major importers to temporarily allow them to continually source from Iran.