MANILA, Philippines — Filipino motorists and consumers are facing a staggering increase in fuel prices next week, with diesel expected to jump by nearly ₱20 per liter as the Middle East conflict severely disrupts global oil supplies.
According to industry sources on March 7, 2026, the following hikes are anticipated for the coming week:
- Diesel: An upward adjustment of almost ₱20 per liter, potentially pushing retail prices to ₱80 per liter.
- Gasoline: An increase of up to ₱10 per liter.
- Duration: This marks the 11th consecutive week of increases for diesel and the 8th consecutive week for gasoline.
The Department of Energy (DOE) and the Philippine National Oil Co. (PNOC) are exploring several strategies to mitigate the impact:
- Staggered Increases: Oil companies have expressed willingness to spread the price hike over several days rather than a single massive jump.
- Emergency Procurement: The government is looking to acquire 1 million barrels of diesel from South Korea, Japan, Singapore, Malaysia, and Indonesia. PNOC would sell this fuel at cost (no profit) to domestic distributors.
- BOC-OIL Task Force: The Bureau of Customs, DOE, and BIR have formed a task force to inspect oil depots and prevent hoarding or profiteering.
- No Panic Buying: Energy Secretary Sharon Garin urged the public not to panic buy, noting that the country currently has a two-month inventory of fuel.
The fuel crisis is also expected to bleed into other utility costs:
- Electricity: The Energy Regulatory Commission (ERC) warned of upward pressure on the Wholesale Electricity Spot Market (WESM) due to rising costs of coal and LNG.
- Meralco: The country’s largest power distributor warned that consumers might see higher electricity bills by April.
The primary driver is the escalating U.S.-Israel-Iran conflict, which has clogged shipping channels in the Middle East. Furthermore, China, which provides 30% of the Philippines’ diesel imports, has suspended fresh export contracts to secure its own domestic supply.
