Local oil companies are set to implement a P1.50 per liter increase in the pump prices of petroleum products this weekend.
Pilipinas Shell Petroleum Corporation implemented its increase in prices of gasoline, diesel and kerosene by P1.50 per liter, 12:01 a.m. Saturday.
Chevron Philippines (formerly Caltex) and Total Philippines, meanwhile, are implementing a similar price hike at 6 a.m. the same day.
Petron Corp. also said it will implement a P1.50 per liter (Value-Added Tax included) increase in the prices of its gasoline, kerosene and diesel effective 6 a.m. Saturday to reflect the continuing surge in crude prices.
Petron said that month-to-date-May Dubai crude is averaging $119.46 per barrel, $16 more than the April average. The oil company said that this is the largest single-month increase ever for Dubai.
Other oil firms are expected to follow suit.
This comes even as the Department of Energy had earlier announced that the tariff on imported fuel products to zero effective June 1 to mitigate the effects of record-high oil prices in the international market.
The tariff suspension will reportedly remove at least P0.50 per liter on diesel products.
Oil firms said they need to recoup costs of P10 per liter.
Palace reiterates position on EVAT removal on oil
Malacañang meanwhile reiterated on Friday its refusal to lift the expanded value added tax (EVAT) on petroleum products.
Presidential Spokesman Ignacio R. Bunye, in a Palace statement, said that the lifting EVAT would be counter-productive to the gains from the implementation of economic reforms.
President Arroyo on Tuesday said that revenue from EVAT would be returned to the people through cash transfer loans and scholarships.
Several senators and activist organizations have been calling for either the lifting, suspension or reducing the EVAT on oil products to cushion the impact on the people of the spiraling international oil prices.
LPG up by P3.50 per kilogram
The price of liquefied petroleum gas went up by P3.50 per kilogram Saturday.
LPG Marketers Association (LPGMA) president Arnel Ty said Friday the latest price increase would bring LPG prices from P565-P575 to over P600 per 11-kg tank.
Ty said the latest increase is the result of the surge in international contract prices. He said the fluctuating foreign exchange rates is also having an effect on LPG prices.
"Normally, there should only be one LPG price increase per month but suppliers and dealers said the foreign exchange rate is having an effect on LPG prices," he told radio dzMM.
Small LPG dealers raised prices of their products by P5.50 per 11-kg tank two weeks ago. With a report from Alvin Elchico, ABS-CBN News