Insider Spotlight:
The numbers:
Petron, the country’s largest petroleum retailer, announced it will increase pump prices in two phases:
June 24, Tuesday, 6 a.m.:
June 26, Thursday, 6 a.m.:
By week’s end, total increases will amount to P3.50/liter for gasoline and P5.20/liter for diesel.
The rationale:
“Our dialogue with industry players today reflects our shared commitment to balance economic realities with the need to shield our people from sudden price shocks, and we are pleased to report that they have responded positively to our request,” said DOE officer-in-charge Sharon Garin following a June 23 meeting with oil companies.
The staggered pricing is intended to ease immediate inflationary pressure, especially on transport and agriculture sectors.
What’s driving prices:
Energy Undersecretary Alessandro Sales attributed recent spikes more to speculation than supply issues.
“Much of the recent price volatility is being driven not by actual supply disruptions, but by speculative trading due to geopolitical uncertainties,” he said .
What’s next:
Garin will meet with the Departments of Transportation and Agriculture on June 24 to finalize targeted fuel subsidies for drivers and farmers if oil prices breach $80 per barrel.
Fuel discount coverage for transport operators will also be expanded in coordination with retailers.
Dubai crude currently averages $75.16 .
