Oil & Gas

Oil companies announced on Monday that they will implement a significant price rollback on fuel prices this week, with diesel prices dropping by P0.90 per liter, gasoline prices falling by P1.70 per liter, and kerosene seeing the biggest drop of P1.80 per liter. The new prices will take effect at 6 a.m. on March 11. This marks the second consecutive week that the industry has implemented a downward adjustment in fuel prices, signaling a trend of decreasing costs at the pump.

The price reduction comes after the previous week’s adjustments, where gasoline decreased by P0.90 per liter, diesel by P0.80 per liter, and kerosene by P1.40 per liter. According to the Department of Energy (DOE), the decline in global oil prices has led to lower local pump prices, with increased commercial crude oil stockpiles in the U.S. and plans from OPEC+ to raise output by April contributing to the price drop.

In a separate matter, the DOE has urged liquefied petroleum gas (LPG) industry players to fully comply with the LPG Industry Regulation Act (LIRA) to avoid penalties, including fines, business closures, and even imprisonment for non-compliance. LIRA was enacted to protect consumers and ensure that LPG activities adhere to strict health, safety, and environmental standards. All establishments involved in LPG-related activities are required to follow the regulations to maintain industry integrity and consumer protection.

To ensure compliance, the DOE has emphasized the substantial administrative and criminal penalties stipulated by LIRA, including fines up to P100,000 for non-compliant equipment and possible imprisonment of up to 12 years. The government’s commitment to protecting public health and safety through the enforcement of LIRA underscores the importance of regulatory adherence in the LPG industry, with 6,952 registered LPG players as of December 2024.