The Department of Energy (DOE) may return to fixed fuel price adjustments as early as next week if volatility in global oil prices persists amid renewed tensions in the Middle East, Energy Secretary Sharon Garin said Monday.
Garin said the DOE is monitoring international market movements following fresh concerns over possible disruptions in oil shipments through the Strait of Hormuz, a key global energy trade route.
“Next week, if things are still volatile, wala na po ‘yung range, kundi ‘yung definite amount na lang na maximum or minimum, whether it’s rollback or oil price hike,” Garin said during a virtual briefing.
She said escalating geopolitical tensions continue to push global crude prices higher, with the Philippines expected to feel the impact through higher pump prices.
“The recent days, there are still growing tensions in the region. In particular, threats to navigation through the Strait of Hormuz have underscored the vulnerability of one of the world’s most critical energy trade corridors, placing upward pressure on international crude oil prices,” Garin said.
Based on the DOE’s latest price estimates, gasoline prices may either increase or decrease by as much as P1 per liter starting Tuesday, while diesel prices are projected to rise by P2.62 to P4.62 per liter. Kerosene prices are also expected to increase by P2.22 to P4.22 per liter.
Despite the expected adjustments, Garin assured the public that the country has sufficient fuel inventories.
As of July 10, the Philippines has an average fuel supply of 47.87 days, including 48.17 days for gasoline, 45.69 days for diesel, 148.98 days for kerosene, 80.09 days for jet fuel, 33.37 days for fuel oil and 39.51 days for liquefied petroleum gas.
“As these global developments continue to unfold, the DOE remains vigilant and steadfast in implementing measures to safeguard the country’s energy security, mitigate impacts on consumers, and ensure a stable and reliable fuel supply,” Garin said.
The DOE also reported continued implementation of the government’s fuel subsidy program to help offset rising transport costs.
DOE Oil Industry Management Bureau Director Rino Abad said P267.7 million in fuel subsidies had been released as of July 13, benefiting 83,381 qualified recipients. He added that 2,723 gasoline stations nationwide are participating in the program.
