Fuel prices climb by almost P2 per liter

MANILA: After a price increase last week, motorists should prepare to fork out close to P2 more for fuel today as the prices of gasoline, diesel, and kerosene all go up in response to positive movements of oil in the world market.

The price of gasoline goes by P1.75, diesel increases by P2.10, and kerosene by a whopping a P2.65 even as the latter is expected to also get a big price adjustment by next month.

This price increase has yet to factor in taxes from President Duterte’s Executive Order 113, which was signed early this month in order to raise additional funds for the government's social amelioration program (SAP) which aims to feed families affected by the COVID-19 pandemic. It is expected to be implemented on the next round of fuel price adjustments.

The 10% government-mandated additional tax was initially computed to add about 60 to 80 centavos to the price of various fuel commodities. According to oil companies, as per their calculations based on the recent string of fuel price hikes, the extra import duty would now come out to an additional P1 to P1.50 increase.

Motorists are advised to expect a much larger price hike once fuel companies amend the prices, based on the value of oil in the world market, and incorporate the temporary import duty rates.

Photo from Wikimedia Commons

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