Local oil companies have slashed pump prices by as much as P2.50 a liter as the international supply situation stoked fears of another price crash similar to what happened in 2014.
Shell, Seaoil, PTT, Eastern, Flying V and Caltex announced reductions of P2 per liter of diesel and P2.30 per liter of gasoline, effective 6 a.m. on Tuesday.
Phoenix Petroleum made the biggest price cut for gasoline of P2.50.
Shell, Seaoil, Flying V and Caltex reduced prices of kero-sene by P1.85 per liter.
These were the biggest price cuts over the past five weeks.
The price of diesel has gone down by a total of P5.05 and that of gasoline by P7.50 per liter.
Increased output
Analysts attributed the slump to a move among crude oil producers, led by Saudi Arabia, to increase output last month.
This interrupted a concerted move to reduce output that was implemented in late 2016. —Ronnel W. Domingo