OMFG. Another oil price hike.

By : Niel V. Mugas, Reporter | Manila Times

Still driven by skyrocketing fuel prices, domestic oil companies raised by half a peso their prices for petroleum products over the weekend.

Petron Corp., which enjoys a 38 percent share of the domestic retail market, was the first to implement a price hike. It increased the prices of its diesel, kerosene and gasoline by P0.50 inclusive of value-added tax effective Saturday.

This move was shortly followed by Chevron Philippines Inc. (formerly Caltex), which also increase its prices by P0.50 a liter in the diesel, kerosene and gasoline products.

Chevron, however, said it will continue providing P1 a liter diesel discounts in 133 stations nationwide to cushion the effect of the rising fuel costs to the public transport sector.

Midnight Monday

Shell Philippines Corp., the second-largest firm in the country, has yet to announce a price adjustment but is expected to follow suit in the spirit of competitive market forces.

Independent players Total Philippines and Flying V Corp. will meantime said they will implement a P0.50 a liter adjustment effective only on midnight Monday.

Major oil firms meantime did not increase the prices of cooking gas, or liquefied petroleum gas despite a recent increase in its contract prices this month.

Sources at the Department of Energy said the recent price hike is justified. They said more price increases are possible in the next four weeks.

Dubai crude prices averages $68.10 a barrel, higher than the April average of $64.14 a barrel.