Oil companies agree to implement pump price hike on staggered basis

Philippine fuel retailers have agreed to implement scheduled pump price hikes for this week on a staggered basis in a bid to ease the burden of potential major adjustments, the Department of Energy (DOE) said Monday.

According to the DOE, the staggered implementation will be made after an agreement during a meeting between officer-in-charge Sharon Garin, undersecretary Alessandro Sales, and representatives of the downstream oil industry on Monday morning.

“Our dialogue with industry players today reflects our shared commitment to balance economic realities with the need to shield our people from sudden price shocks, and we are pleased to report that they have responded positively to our request,” Garin said in a statement.

Oil companies are set to submit their implementation scheme, including the breakdown of the staggered adjustments, no later than 6 p.m. on Monday, June 23, 2025.

“We have also urged oil companies to increase the number of their retail stations offering fuel discounts to the transport sector,” Garin said.

“This forms part of our broader efforts to alleviate the burden on vulnerable groups. We will address this in detail during our individual meetings with the oil companies on Wednesday, 25 June 2025,” she added.

Garin is also set to meet with officials of the Departments of Transportation (DOTr) and Agriculture (DA) on Tuesday, June 24, to discuss the rollout of subsidies for public drivers and farmers should the average price of crude oil breach $80 per barrel. It is currently at $75.16 per barrel.

To recall, the DOE’s Oil Industry Management Bureau (DOE-OIMB) earlier projected big-time increases this week, citing the conflict between Israel and Iran that threatens critical global shipping passa ge.

“We are closely monitoring global oil price benchmarks and foreign exchange trends, but we also urge them to exercise prudence in passing on cost changes to consumers,” Undersecretary Sales said.

“Much of the recent price volatility is being driven not by actual supply disruptions, but by speculative trading due to geopolitical uncertainties,” he added.

President Ferdinand “Bongbong” Marcos Jr. earlier said fuel subsidies would be given amid the anticipated pump price hike.

The average pump price of gasoline stood at P55.90 per liter, diesel at P53.40 per liter, and kerosene at P70.22 per liter as of June 23, 2025.

Firms last week hiked prices per liter of gasoline by P1.80 each, and kerosene by P1.50. — RSJ, GMA Integrated News