Domestic oil players remain in a “wait and see” mode as geopolitical tensions, particularly between Israel and Iran, continue to inject uncertainty into global fuel markets. Jetti Inc. president Leo Bellas noted that although crude benchmarks like the Mean of Platts Singapore (MOPS) showed recent softening—diesel down over $3 per barrel and gasoline by more than $0.50—domestic pump prices are still projected to rise next week unless the downward trend holds.
Despite a de-escalation in Middle East tensions, market fears over a potential Strait of Hormuz closure remain a background risk. With 20 percent of global oil supply passing through the chokepoint, the Department of Energy (DOE) confirmed ongoing efforts to diversify sourcing, though logistical and quality challenges make Middle East crude the most viable option for the country’s only refinery, operated by Petron in Bataan.
Fuel retailers, including Clean Fuel’s Jesus Suntay, cite both international price trends and local regulatory costs—such as excise taxes and biofuel mandates—as dual pressure points keeping prices high. Suntay emphasized the benefits of deregulation in cushioning these impacts through competitive pricing but admitted that cost inflation remains pronounced.
As of 23 June, domestic pump prices average ₱55.90 for gasoline, ₱53.40 for diesel, and ₱70.22 for kerosene. With upward global trends persisting, a staggered domestic price hike is underway, with another round set for June 26, further highlighting the cautious stance of stakeholders awaiting clearer signals from global markets.
