The Department of Energy (DOE) said on Friday that motorists should prepare for a possible big-time price increase for gasoline and diesel, starting Tuesday, June 24.
In its forecast, the agency said the prices of fuel may go up as high as P5 per liter next week.
This is based on four days of trading on Mean of Platts Singapore, and due to rising oil prices in the world market.
Rodela Romero, Assistant Director of the DOE Oil Industry Management Bureau, said gasoline may increase by P2.50-P3 per liter;
diesel by P4.30-P4.80 per liter; and kerosene by P4.25-P4.40 per liter.
The energy official said diesel jumped by nearly 3 US dollars per barrel on Wednesday and Thursday, attributing the looming big increase to the Israel-Iran conflict which threatens critical global shipping passage.
"If that's the case, the price hike may reach P5 per liter if it increases again on Friday," Romero said.
The last increase of diesel prices to P5 per liter was in March 2022, when then US President Joe Biden banned the import of Russian oil, liquefied natural gas, and coal to the United States.
The DOE estimates that the Philippines consumes approximately 32 million liters of diesel per day, while gasoline consumption is at 23 million liters.
With the possibility of the hefty price hike, Romero urged motorists to plan their trips to save gas and to avoid unnecessary side trips.
Official price adjustments will be announced by oil firms on Monday, and implemented the following day.