Fuel Price Hike Expected in Second Week of 2025

Consumers should brace for another round of fuel price increases in the second week of 2025. Following a ₱1 per liter hike earlier this week, further adjustments are anticipated:

• Gasoline: ₱0.40 to ₱0.70 increase per liter
• Diesel: ₱0.45 to ₱0.75 increase per liter
• Kerosene: ₱0.65 to ₱0.75 increase per liter

Factors Behind the Price Hike

The Department of Energy-Oil Industry Management Bureau attributed the expected increases to global developments, including:

• Declining oil production data from OPEC and Russia in December.
• Strong US employment data showing fewer layoffs and growing job openings.
• Increased Asian demand driven by China’s economic stimulus package.
• Severe winter weather in the US and Europe, with several US states declaring a state of emergency.

Fuel companies typically announce price adjustments on Mondays, which take effect the following day.

Recent and Historical Trends

Effective January 7, 2025, fuel prices rose by ₱1 per liter for gasoline and kerosene, and ₱1.40 for diesel. These were the first adjustments of the year.

In 2024:

• Gasoline prices increased by ₱12.75 per liter.
• Diesel prices increased by ₱11 per liter.
• Kerosene prices saw a net decrease of ₱2.70 per liter.