Fuel Forecast: Philippines to Welcome New Year with Lower Diesel and Kerosene Prices

The article titled “Fuel Price Relief: Anticipated Drop in Diesel and Kerosene Prices in Early 2024,” discusses the expected reduction in diesel and kerosene prices in the Philippines at the beginning of January 2024. This information was provided by Rodela Romero, Assistant Director of the DOE-Oil Industry Management Bureau. According to Romero’s market analysis over the past four days, diesel prices are predicted to decrease by PHP 0.10 to PHP 0.35 per liter. Kerosene is likely to see a larger rollback, ranging from PHP 1.00 to PHP 1.10 per liter. In contrast, gasoline prices may remain stable or increase slightly by PHP 0.10 per liter.

Romero attributes these adjustments to reduced concerns about shipping disruptions in the Red Sea and the expectation that Russian oil output will remain stable in 2024. Russia has redirected its oil exports from Europe to India and China, influencing global oil dynamics. DOE-OIMB Director Rino Abad’s assessments in a recent interview aligned with these observations. This anticipated price reduction follows a significant price hike in fuel products earlier in the week, where gasoline, diesel, and kerosene saw increases reaching up to PHP 1.60, PHP 1.70, and PHP 1.54 per liter, respectively.

The article highlights a dynamic shift in the fuel market, potentially easing the financial burden on consumers and industries reliant on diesel and kerosene in the Philippines.