MANILA -- Filipino motorists will wake up to modestly lower oil prices on Tuesday (May 8) after oil firms announced that they will be implementing another rollback in the prices of their products.
The prices of both unleaded gasoline and diesel will be rolled back by 30 centavos per liter, industry spokesmen announced through text messages on Monday. The price of kerosene will likewise be reduced, but by a more substantial 60 centavos per liter.
The slight decrease in local pump prices this week is reportedly due to the continuation of consumer-favorable movements in the world crude market. It follows a more significant price reduction that was implemented by oil firms last May 1, wherein unleaded gasoline was reduced by 85 centavos, diesel by 70 centavos and kerosene also by 70 centavos per liter respectively.
An oil industry observer said that what is really significant is that the two consecutive oil price rollbacks will result in a one peso per liter reduction in the price of diesel in the first eight days of May alone. Diesel is widely considered to be a more "politically sensitive" product because it fuels mass transport vehicles usually used by lower income workers.
As in the past, some companies are expected to implement their respective rollbacks at the stroke of midnight on Tuesday while others will carry out the price reduction at 6AM. "By implementing their price adjustments at slightly different times and sometimes even by very slightly different amounts, oil companies distance themselves from their old image of being cartelized," the observer added. (PNA)
