NOTE: THIS STORY WAS FIRST PUBLISHED IN THE BOHOL CHRONICLE’S SUNDAY PRINT EDITION.
Boholanos are bracing for the biggest increase in the prices of petroleum products amid the worsening war between Russia and Ukraine, Russia being the second biggest oil supplier in the world.
A highly placed source told the Chronicle that the fuel price increase will be unbelievably increased by P5.50 per liter for diesel and P3.80 per liter for gasoline.
The price hike is expected to be effective by 12 midnight on Tuesday this week.
A fuel distributor confirmed this last night while he assured the sufficient supply of petroleum products available at gasoline pumping stations.
“There is no need for the public to panic,” he said while citing the inevitable price hike as affected by the worsening attempt of Russia to seize Ukraine.
The fuel supply remains sufficient until its latest inventory.
The present prices in city gas stations stand at P65 per liter for unleaded gasoline and P57.90 for diesel.
Once the new price takes effect on Tuesday, diesel will be sold at P63.40 per liter while gasoline price will reach P68.80 per liter.
RUSSIA: NO 2 FUEL SUPPLIER
The country’s fuel supply is 100% vulnerable to the impending scarcity of fuel supply.
With the embargo in place, the time may come that they can no longer supply fuel. : Likewise, Russia has a shorter distance to Japan, Korea or Singapore, where the crude oil is stored for export to the Philippines as a finished product.
Because of the Ukraine crisis, the supply has to go on a long route to the Middle East, with the logistical problems compounding the shipping industry, there will eventually be a shortage of fuel supply in the coming weeks or months.
The government’s assurance for steady supply is just to stop the public from panicking.
“There will really be a shortage of fuel supply in the coming days,” a gasoline distributor told the Chronicle.
He said in a market-driven economy dictated by the supply and demand factors, prices will escalate once fuel supply is reduced due to sanctions affected by the Ukraine-Russia conflict,
The only way to lessen the impact on fuel prices, there should be an intervention in the OPSF to be imposed by the Duterte administration or a ramp-up in production levels should be imposed by OPEC.