OIL COMPANIES are set to impose this week their biggest price increase so far this year for diesel at P1.30 per liter (/L), with the Department of Energy (DoE) citing a number of reasons for the move, including the onset of the holiday season in the Philippines. Aside from diesel, petroleum retailers will also raise the price of gasoline by P0.45/L and kerosene by P0.90/L. Most of the companies that sent their advisories as of 6:00 p.m. on Monday said they would be raising prices by 6:00 a.m. on Tuesday, Sept. 12. “This is to reflect movements in the international petroleum market,” said Seaoil Philippines, Inc. Aside from rising demand during the last quarter of the year, DoE said the increase was also brought about by the decline in the output of oil refiners in the US in the aftermath of hurricanes Harvey and Irma. It also cited the continuing reduction in the production of oil cartel Organization of the Petroleum Exporting Countries, including Russia, one of the world’s biggest suppliers. This week’s increase is the third straight week of price rise for diesel and kerosene, and the eighth consecutive hike for gasoline. — Victor V. Saulon

RELATED ARTICLESMORE FROM AUTHOR