Fuel prices seen to rise by up to P1.50 this week

Motorists should brace for another round of pump price hikes this week, with increases projected at ₱1 to ₱1.50 per liter due to global supply concerns.

Jetti Petroleum president Leo Bellas said diesel is expected to go up by ₱1.30 to ₱1.50 per liter, while gasoline may climb between ₱1 and ₱1.20, based on the Mean of Platts Singapore (MOPS) benchmark and foreign exchange movements.

“Oil prices have increased on worries of supply disruptions after Russian oil flows dropped significantly as the country’s oil processing facilities suffered serious damage from Ukrainian attacks,” Bellas explained.

He added that renewed US sanctions on Iran’s oil revenue stream, along with expectations that OPEC+ will keep production unchanged, have further tightened supply.

At the same time, speculation that the oil producers’ group may raise production targets in October has tempered gains due to oversupply concerns.

“Refined fuel supply fundamentals remain sensitive to trade disruptions, including any further escalation in geopolitical tensions,” Bellas noted, citing doubts about the strength of US demand as another factor influencing prices.

Last week alone, local pump prices rose by ₱0.70 to ₱1 per liter. The coming adjustments will mark several consecutive weeks of increases.