Companies are hiking fuel prices a day after the Department of Transportation commenced Phase 2 of the public transport revival.
Cleanfuel, Flying V, Petro Gazz, Petron, PTT Philippines, Shell, Seaoil, and Total announced via separate advisories a collective increase in diesel and gasoline product costs, by PHP0.85 and PHP1.05 per liter, respectively.
Flying V, Petro Gazz, Petron, Shell and Seaoil, on the other hand, will raise kerosene prices by PHP0.30 per liter.
In a report by the Philippine News Agency, the steady hike can be attributed to the Organization of the Petroleum Exporting Countries "pump(ing) less crude oil (since) May to counter the falling trading prices."
Another reason could be Executive Order No. 113 or the Customs Modernization and Tariff Act, which "temporarily modified the rates of import duty on crude petroleum and refined petroleum products."
Income from the 10 percent additional tax will be utilized in the fight against COVID-19.
Energy Secretary Alfonso Cusi explained, "Upon the release of EO 113, our Oil Industry Management Bureau immediately met with industry stakeholders to discuss the way forward, including their strict compliance with the EO’s guidelines."