MANILA – Domestic diesel prices are seen to decline by as much as P3.20 per liter next week resulting from the easing worries over the Russia-Ukraine war since the US seems firm on hammering out a peace deal.
Citing price movements as of Thursday, Jetti Petroleum president Leo Bellas said diesel prices may be rolled back between P3 and 3.20 per liter, but gasoline prices may increase by P0.10 per liter. He cited the big drop in diesel prices in the international market due to correction “on hopes of a US-brokered ceasefire in the Ukraine war.”
Reports said US and Ukraine officials are scheduled to meet shortly to discuss a format for a peace deal. This development also benefited gasoline prices but Bellas pointed out that “while Asian gasoline prices have eased down slightly as well, the premium and freight components have remained elevated due to tight supply-demand balance.”
The Russian-Ukraine war along with supply issues are the primary factors in the frequent oil price movement in the world market.
This week, diesel prices rose by P0.60 per liter while gasoline prices dipped by P0.20 per liter.
Kerosene prices climbed by P1.30 per liter, two weeks after no movement for sometime due to the price freeze following the declaration of a state of national calamity on November 6, aimed to address the economic impacts of Typhoon Tino and Super Typhoon Uwan (With PNA)