Eastern Petroleum Corp. announced that it will rollback prices of its gasoline and diesel products by P1.00 per liter effective 6 p.m. Thursday.
Fernando Martinez, Eastern Petroleum president, told ABS-CBN’s early morning show "Umagang Kay Ganda" of the independent oil company's rollback.
"Pangatlong rollback na bale in just 21 days. P3.50 [per liter] na ang nabawas sa presyo gasolina at P1.50 sa diesel," said Martinez.
When asked however if the rollback in prices would continue in the next weeks, Martinez was cautious in his response.
"Well anybody's guess ‘yan. Puwedeng mangyari pwede ring di mangyari, volatile kasi ang market," said Martinez.
Martinez also explained that even if the world market prices have significantly decreased in the past days, this could not immediately affect the selling prices in the local market.
"Kung bumaba sa world market halimbawa, isang transaksyon, di ibig sabihin ‘yon na rin ang aktwal na nabibili natin. ‘Yon ay for delivery pa sa September. Kaya minsan nagkakaroon ng misconception na bakit di naro-rollback agad ay dahil yon naman ay darating pa, mga 15-30 days pa ‘yon at ang gingamit namin ngayon ay ‘yong naangkat na dumating pa noong Hulyo," explained the oil firm chief executive.
He said however that the recent decreases in the prices of petroleum products in the world market was in anticipation of lower petroleum prices as well as in response to the lower sales to consumers due to the high prices.
"Ngayon pa lang kaya nagsimula nang mag-discount na two weeks ago pa ay inaanticipate namin ang mababa. In effect sakripisyo na rin ‘yon, pero gusto rin natin ay bumalik ang mga motorista sa kalsada ang mga motorista. Talagang bumaba ‘yong demand, napansin naming, noong tumataas. One way of encouraging demand para lahat ng motorista muling timangkilik sa paggamit ng langis at gaolina," said Martinez.
Martinez also said that their decreases may also be at the same rate that they reduced prices which was on the average previously increased P1.00-P1.50 per week.
"Di rin naman biglaan ang pagbaba dahil installment din ang pagbaba. Kung talgang bumaba pa ‘yan sa September pwedeng malaki pa sa piso," said Martinez.
Other firms are expected to follow Eastern Petroleum’s price cut.
'As much as P5/liter fuel rollback till Sept'
Another independent oil player earlier said price cuts on petroleum products starting Thursday could go as much as P5 per liter until September due to the declining crude oil costs in the world market.
"Kung ako ang tatanungin, mas gusto ko isang bagsak na lang ang 3 to 5 pesos na rollback sa Setyembre," said Ramon Villavicencio, president of independent player Flying V.
Though Villavicencio declined to say by how much they will cut their petroleum prices on Thursday, a source told ABS-CBN News that oil companies are likely to announce a P1.00 per liter cut on diesel and gasoline products.
Oil companies said the price cut will reflect the easing oil trade in the global market. From $140 per barrel last July 15, the price of Dubai crude already went down to $114 on August 8.
Meanwhile, an independent manufacturer of liquefied petroleum gas (LPG) already announced a price cut on its products.
Republic Gas Co. (Regasco) will implement a P1.00 price cut per kilogram of LPG. It will also cut its autogas price by P0.50 per liter.
Earlier, Consumer and Oil Price Watch chairman Raul Concepcion said there will be more price cuts in the month of September.
"We expect that by September, there's going to be a weekly rollback because world oil prices are going down," he said. With a report from Alvin Elchico, ABS-CBN News