MANILA, Philippines — A significant reduction in diesel prices is expected next week, offering some relief to consumers as a ceasefire in the Middle East conflict remains intact. Industry sources indicate that diesel prices could see a rollback of P5.50 to P6.50 per liter, which is nearly double the initial forecast of P2.50 to P3.50 per liter.
"The four-day average on Thursday resulted in the bigger estimate," an industry source noted, referencing the Mean of Platts Singapore, a key benchmark for refined petroleum products.
While diesel prices are set to fall, gasoline may see little to no change, with a potential dip of only P1 per liter. However, these projections could still shift as the final trading session of the week concluded on Friday.
Energy Secretary Sharon Garin expressed optimism at a Palace briefing, stating that the anticipated price cut would be her "first good news in the last month," though she did not provide specific figures. Despite this positive development, the expected decrease may only partially offset the sharp increases seen in recent weeks, with diesel prices having already surpassed the P170-per-liter mark.
In some regions outside Metro Manila, such as Baguio City and the Bicol area, diesel prices have reportedly climbed as high as P185 per liter, while gasoline reached P165 per liter, according to transport group Piston.
To alleviate the burden on public utility vehicle drivers and operators, President Ferdinand Marcos Jr. announced a P10-per-liter fuel subsidy, capped at 150 liters per week at participating gas stations. This initiative is projected to save jeepney drivers up to P1,500 weekly, totaling P18,000 over the three-month implementation period. Transportation Secretary Giovanni Lopez confirmed that the Department of Energy will draft the guidelines for the subsidy, which his department will oversee.
The subsidy program is slated to begin on selected routes in Metro Manila next week, with plans to expand to other regions subsequently. Garin also reassured the public that fuel supplies across the country are stable.
In a related move, the DOE has requested the Philippine Competition Commission to investigate potential cartel-like behavior or coordinated pricing among oil companies, a concern that has been under discussion since July 2025.