President Ferdinand Marcos Jr. Has announced a new series of oil price rollbacks scheduled to capture effect on Tuesday, April 21. The President shared the update via Facebook, stating that consumers can expect a significant reduction in fuel costs.
Breakdown of Fuel Price Reductions
The most substantial decrease applies to diesel, which will be reduced by P24.94 per liter. This cut is notably larger than the P20 per liter reduction that took effect on April 14.
Gasoline prices are expected to drop by P3.41 per liter, while kerosene will see a reduction of P2 per liter. President Marcos described the news by stating, “May ginhawang parating” (There’s relief coming).
Impact on National Capital Region (NCR) Prices
In the National Capital Region, the common price of diesel is expected to fall from P153.70 to P128.76 per liter. For the week of April 7 to 13, diesel prices in the region ranged between P120 and P160.20.
For the cheapest gasoline (RON91), the common price in the NCR will shift from P94.50 to P91.09 per liter. Kerosene prices are expected to move from P163.10 down to P161.10 per liter.
The Pre-War Price Gap
Despite the current reductions, prices remain high compared to the period before the US-Israel war on Iran on February 28. Diesel’s new common price of P128.76 is still more than double the pre-war price of P55 per liter.
Similarly, gasoline (RON91) remains P36.39 per liter higher than its price before the conflict began. This suggests that while prices are trending downward, they have not yet returned to earlier levels.
Directives to Oil Companies
President Marcos has issued a clear directive to the country’s oil companies to ensure the rollbacks are applied properly. He urged them to “Ipatupad ninyo ang rollback ng buo, tama, at walang pagaantala” (Implement the rollback in full, correctly and without delay).
Given these directives, oil companies may face increased scrutiny regarding the timing and accuracy of their price adjustments. The continued volatility could mean that further adjustments may occur depending on the stability of the regional conflict.
Frequently Asked Questions
When will the oil price rollback take effect?
The price reductions are expected to take effect on Tuesday, April 21.
How much is the price reduction for diesel?
Diesel prices will be reduced by P24.94 per liter.
How do current diesel prices compare to pre-war prices?
The new common price in the NCR of P128.76 is still more than double the common price of P55 per liter that existed before the US-Israel war on Iran on February 28.
Do you believe these price reductions will be enough to lower the cost of basic goods and farm produce?
