Big-time rollback in pump prices seen next week

Motorists could take a breather in the coming week as pump prices of petroleum products are expected to go down big-time.

An oil industry source told GMA News Online that the price per liter of diesel may be slashed by P6.30 to P6.50 per liter.

Meanwhile, gasoline prices may be reduced by P5.70 to P5.90 per liter.

In its fuel price forecast for July 12 to 18 trading week, Unioil Petroleum Philippines said diesel prices are expected to go down by P5.90 to P6.00 per liter while gasoline should roll back by P5.50 to P5.70 per liter.

In a text message, Department of Energy-Oil Industry Management Bureau Director Rino Abad confirmed that there will be a big-time price rollback on all fuel products next week.

Abad said fuel prices may go down by  P4 to P6 per liter.

The Energy official cited the following reasons:

• China Shanghai lockdown
• Interest hikes by various countries
• Threat of recession which could cause demand destruction

Oil companies usually announce price adjustments every Monday, to be implemented the following day.

Effective Tuesday, July 5, fuel firms implemented a price reduction on diesel by P3.00 per liter while no movement has been effected on gasoline.

This brought the year-to-date adjustments to stand at a net increase of P42.90 per liter for diesel and P30.00 per liter for gasoline.

Latest data from the DOE showed the price per liter for diesel range between P81.20 and P89.71 in Quezon City - Metro Manila’s largest city - while gasoline prices range from  P81 to P89.15 per liter in Manila, the Philippines’ capital. — RSJ/LBG, GMA News