Small oil players to hike pump prices by P1/L


Posted at Jan 11 2010 07:06 PM | Updated as of Jan 12 2010 03:07 AM

MANILA, Philippines - Despite the recent removal of the tariff on imported petroleum products, small oil players will hike prices of gasoline, diesel and kerosene effective Tuesday.

Flying-V will increase its pump prices by P1 per liter at P12:01 a.m. Tuesday. Eastern Petroleum will implement the same price adjustment at 6 a.m.

The price adjustments come days after President Arroyo issued an executive order, reducing the tariff on imported fuel products to 0% from 3%.

Flying-V said the tariff reduction has no effect on the company's imports, which will arrive only at the end of January.

Earlier, the Energy Department said a P0.70 per liter cut in pump prices could result from the reduction of tariff on imported oil products as sanctioned by the ASEAN Trade in Goods Agreement.

However, players said this may not be fully realized because of the continued spike in international prices.