Massive Fuel Price Hike Looms: Diesel could Breach ₱170, Gasoline ₱120 next week
MANILA, Philippines — Filipino motorists and commuters are bracing for a staggering increase in pump prices next week, as international oil trading from March 30 to April 2 saw a massive spike driven by the escalating conflict in the Middle East.
Market data from the first four trading days of the week reveals a "mega-hike" scenario, according to the Mean of Platts Singapore (MOPS).
Diesel prices are expected to jump by ₱17.00 to ₱19.00 per liter starting Tuesday, April 7.
This means retail prices for regular diesel could climb to ₱165 per liter, while premium diesel is projected to exceed ₱170 by early next week.
Kerosene is also seeing a sharp rise of ₱8.00 per liter.
Meanwhile, Gasoline is also expected to climb by ₱3.00 to ₱5.00 per liter. This would bring the prices to ₱120/liter for super premium, ₱117 for premium, and ₱110 for regular variants.
The surge is directly attributed to the ongoing war in Iran and renewed maritime tensions. Industry analysts note that the restricted access to the Strait of Hormuz—a critical artery for 20% of the world’s petroleum—has sent shockwaves through global energy markets.
The Department of Energy (DOE) warned that as long as the geopolitical instability persists, the Philippines, which relies heavily on imports from Saudi Arabia, will remain vulnerable to these volatile price swings.
Gov’t Activates ₱2.5-B Fuel Subsidy
To cushion the blow, the national government has accelerated the rollout of its ₱2.5-billion Fuel Subsidy Program. The Department of Transportation (DOTr) and the LTFRB already fast tracked the distribution of cash aid to over 240,000 transport workers.
Key beneficiaries include:
Jeepney & Taxi Drivers: Receiving ₱1,500 to ₱5,000 in direct aid via e-wallets or fuel cards.
Bus Operators: Eligible for up to ₱10,000 per unit to maintain operations amid soaring costs.
Transport Network Vehicles (TNVs) & Delivery Riders: Payouts for ride-hailing and delivery partners have been prioritized to prevent a spike in delivery surcharges.
DOTr Secretary Giovanni Lopez said the P2.5 billion subsidy will cover about 1,181,000 units nationwide.
“Ang utos naman sa atin ng Pangulo kung kailangan namin dagdagan ang ating mga subsidiya either in the form of this existing program, gagawin po natin yan or in the form of other programs tulad ng libreng sakay natin na makikinabang naman po talaga are the existing tsuper and yes, contracting, libreng sakay service contracting natin, kasama ang commuters din natin,” Lopez said.
Lopez noted that the government is moving as quickly as possible to get this aid into the hands of our drivers. "Our goal is to prevent a surge in fares that would further burden the commuting public," he added.
The fuel shock is already being felt beyond the gas station. Economists warn that if Brent crude remains above $100 per barrel, the Philippine peso could weaken further, potentially breaching the ₱61:$1 mark by the end of the quarter.
Commuters are advised to prepare for potential petitions for fare increases as transport groups struggle to absorb the ₱15/liter diesel hike.