Oil companies raised gasoline and diesel prices on May 19 while lowering kerosene rates, citing renewed geopolitical risks in the Middle East. The Department of Energy set maximum adjustments to stabilize the market.
Energy Secretary Sharon Garin announced the changes on May 18, prescribing a maximum increase of P1.21 per liter for gasoline and P2.82 per liter for diesel. Kerosene prices will drop by at least P2.21 per liter. The adjustments follow a significant rollback the previous week.
Garin explained that the DOE determines values based on company-reported replacement costs, freight, insurance, and transportation. She noted ongoing reviews of industry submissions to assess whether current rules need easing.
The country’s fuel inventory stood at 45.33 days as of May 15, down from 50.7 days the prior week. Garin stated the levels are not alarming, as supply from other countries remains assured and the DOE is prepared to procure additional stocks if needed.
Industry sources linked the hikes to escalating tensions in the Middle East, a key oil-producing region. Prices in Metro Manila now range from P73.68 to P108.18 per liter for gasoline and up to P97.65 per liter for diesel.
