Julia Christine Botin

Bigtime rollback in fuel prices seen next week

Article (news)

Alvin Elchico

ABS-CBN News

MANILA — A bigtime rollback in fuel prices may be expected next week as the tariff wars triggered by the United States weighed down oil markets.After 3 trading days, the following price adjustmentsGasoline P4.15/L ⬇️ Diesel P3.58/L   ⬇️Kerosene P3.50/L ⬇️Department of Energy Assistant Director Rodela Romero said that even if prices rebound today and tomorrow, there is already a sure rollback next week, possibly hovering between P2-P3/liter.But Romero said it is still possible that the more than P3/liter reduction in international fuel prices will be sustained until Friday&#x27;s trade.<div>POWER SUPPLY DEAL QUESTIONED</div>Meanwhile, the Power4people Coalition said it was alarmed over the approval of the Energy Regulatory Commission on the power supply agreements between Meralco with South Premiere Power Corporation and the Excellent Energy Resources Inc.The two companies are jointly owned through a partnership with Meralco Powergen Corporation, San Miguel Global Power Holdings and Aboitiz Power Corporation, with Meralco having the highest stake at 40 percent, according a statement from the group.The group said the supply agreement will result to higher electricity rates for consumers. It also floated the idea that the deal may have violated the law.&quot;Section 45 of EPIRA  states that no distribution utility may source more than 50 percent of its power from associated companies. MERALCO&#x27;s PSA with SPPC and EERI would bring the total capacity secured by Meralco from its associated companies to 51.44 percent, or 59.5 percent if we consider captive peak demand. There is a clear violation of the law that the ERC should have put a stop to it,&quot; said the group.ERC Chair Monalisa Dimalanta however said the commission only gave provisional approval for the contracts.&quot;To ensure sufficient supply to Meralco consumers especially during the summer months of 2025 without being exposed to the volatile prices in WESM, the ERC gave provisional approvals to the subject PSAs. This was conditioned on a review once the PCC completes its own review of the transaction among San Miguel, Aboitiz and Meralco concerning these PSAs and the gas terminal. To this date, the ERC had yet to receive a copy of the PCC decision, hence, the approvals of these PSAs remain conditional,&quot; says dimalanta  in a statement.On the issue of potential breach of EPIRA, Dimalanta said the commission is waiting for the ruling from the Philippine Competition Commision.&quot;The ERC is sensitive the issue of cross-ownership and will ensure full compliance with laws to uphold not just reasonableness of the price but the integrity also of the power procurement process.&quot; said Dimalanta.

A bigtime rollback in fuel prices may be expected next week as the tariff wars triggered by the United States weighed down oil markets.

A bigtime rollback in fuel prices may be expected next week as the tariff wars triggered by the United States weighed down oil markets.