Diesel pump price nears
P60 per liter after 20th hike in 2008

MANILA – Diesel pump prices went as high as P58.98 per liter yesterday as oil companies implemented another weekend price hike.

Shell's diesel increased by P3 per liter at 6 a.m. yesterday. From P55.98, the company's diesel is now at P58.98.

Shell's unleaded gas and premium gasoline, meanwhile, went up by P1 per liter.
Eastern Petroleum was the first to implement the price hike at 5 a.m. followed by Seaoil Philippines Inc, Shell, and UniOil at 6 a.m.

Eastern Petroleum Corp., Chevron Philippines (formerly Caltex) and Unioil Petroleum Phils. also announced the P3 per liter jump in diesel prices.

Unioil's kerosene products will increase by P2 per liter, Chevron by P1.50 per liter and Shell, P1 per liter.

Chevron said its price hike implementation took effect yesterday noon.

Flying-V, meanwhile, said it will only raise the prices of diesel and kerosene and would leave the price of gasoline unchanged. The firm's price hike will take effect midnight Sunday.

HIGHEST DIESEL PRICE INCREASE
The price hike was the 20th this year, and the P3 per liter increase in diesel was the highest so far this year.

Oil companies said more price hikes may be implemented in the coming weeks, citing more underrecoveries, particularly in diesel.

Prior to yesterday’s increase, Flying-V said it needs to recover at least P5.00 per liter for diesel.

Oil companies admitted that the price hikes would ignite further protests. Shell, meanwhile, said it would be willing to enter a "peaceful" dialogue with militant groups.

Shell said it has invited militant groups for a dialogue with the Department of Energy./PN