DOE Calls Emergency Meeting With Oil Firms — Staggered Price Hikes Possible as Fuel Could Hit $100 Per Barrel
The Department of Energy convened an emergency meeting with independent oil companies on Monday to assess fuel supply and get their commitment to soften the blow of expected sharp price increases. With the Middle East conflict rattling global markets, pump prices are set to jump by as much as ₱1.90 per liter for gasoline, ₱1.20 for diesel, and ₱1.50 for kerosene.
DOE director Rino Abad said the agency may ask oil firms to implement staggered price increases next week instead of one big adjustment. 'This has been done before. The measures to mitigate high prices include staggered increases and offering promos,' Abad told reporters, noting that some fuel stations are already giving discounts of up to ₱5 per liter.
Despite supply disruptions in the Middle East, Abad said local oil firms still have one to two months of inventory — a short-term buffer. But prices could climb even further next week as pumps begin absorbing the full impact of the Iran conflict. Jetti president Leo Bellas warned that oil could be pushed to $100 per barrel and beyond if disruptions at the Strait of Hormuz persist.
Local diesel and kerosene prices have been rising for 10 consecutive weeks, while gasoline has gone up eight times in a row. Since the start of the year, fuel prices have climbed by nearly ₱7 per liter across the board — a painful hit for commuters, transport operators, and businesses.
The emergency meeting comes after the US and Israel launched major attacks on Iran over the weekend that killed Supreme Leader Ayatollah Ali Khamenei. Iran retaliated with strikes across the Middle East, and the Strait of Hormuz — through which 20% of global oil flows — is now effectively a danger zone for tankers.
Source: Philstar
