DOE: LPG prices can go up, fuel price cuts respite may continue

Prices of the liquefied petroleum gas (LPG) products may spike again next month, but the roll back in fuel pump prices may still continue in the next few weeks, the Department of Energy (DOE) said Sunday.

In a Super Radyo dzBB interview, DOE Oil Industry Management Bureau director Atty. Rino Abad said that the months of November and December are usually in the impact period of LPG inventory build-up.

“Malaki po talaga ang [chance]. Ayaw kong sabihin na 100%, wala pa akong hinahawakan na report, pero malaki ang tsansa na magkakaroon pa rin tayo ng increase,” he said.

(The chance is really big. I don't want to say 100% as I don't have a report yet, but there is a big chance that the LPG prices will increase.)

“Ang comfortable talaga ako na January, February, at March, ay medyo mag-e-ease out 'yan kasi ‘yan po ay utilization period na,” he added.

(What I’m comfortable with is that LPG prices will ease out in January, February, and March because that's the utilization period.)

For this month, the prices of LPG products went up by P3.50 per kilogram, and AutoLPG prices increased by P1.96 per liter, according to Petron Corp.

Despite this, Abad brought up the possibility that the pump prices of fuel may continue to decrease in the next two weeks, at least.

“Malaki po ang tsansa na, again, tumuloy probably for another more week… Sa darating na linggo, talagang nakikita na tingin ko, may tsansa pa rin na may tumuloy ang mga rollback. ‘Yan po ay very clear sa nangyayari,” he said.

(There is a big chance that it will continue again probably for another week... In the coming week, I can really see that there is still a chance that the rollback will continue. That is very clear about what is happening.)

“Probably for the two weeks, medyo may tyansa pa but on the long run, hindi tayo sigurado.”

(Probably for the next two weeks, there is still a chance but in the long run, we are not sure.)

DOE-OIMB Assistant Director Rodela Romero on Saturday attributed the anticipated big-time fuel price rollback to the increasing COVID-19 cases in mainland China, higher crude inventory in the United States, and the price cap imposed on Russian crude.

Citing oil trading in the past five days (November 21 to 25), an oil industry source told GMA News Online that the price per liter of diesel may go down by P3.90 to P4.20.

Gasoline prices, meanwhile, may be slashed by P1.20 to P1.50 per liter. —LBG, GMA Integrated News