Terrible Tuesday: Biggest oil price hike in 2019 slated tomorrow

Gas up early. 

Oil companies are set to implement the biggest fuel price increase this year starting tomorrow. 

In separate advisories, several oil firms announced gasoline prices would be raised by P2.35 per liter, P1.75 per liter for diesel, and P1.80 per liter for kerosene starting 6 a.m. on September 24. 

Meanwhile, Caltex will implement the same price adjustments at 12:01 a.m. while Cleanfuel Stations’ fuel price hike will take effect at 12:01 a.m. on Wednesday.

The significant price increase came on the heels of a drone attack on the oil facilities of Saudi Aramco in Saudi Arabia last week.

The incident cut the kingdom’s output by 5.7 million barrels per day or more than five percent of the global oil supply.  The Department of Energy (DOE) said that the drone attacks caused one of the largest oil spikes in the history of crude oil.

“Asian crude benchmark soared more than US$9 per barrel (up 14 percent) between Sept. 13 and Sept. 17. Reports about potential replacements of lost barrels, however, brought prices lower later in the week. Crude spiked more than US$8 per barrel in three days after the attack,” the DOE monitoring team said.

This is the second week that oil companies implemented a significant price increase on their gasoline products. 

Oil companies earlier raise gasoline prices by P1.35 per liter, P0.85 per liter on diesel products, and P1.00 per liter on kerosene.

According to DOE, the year-to-date adjustments stand at a net increase of P5.51per liter for gasoline, P4.02 per liter for diesel, and P2.01 per liter for kerosene. – With Danessa Rivera/STAR

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