LPGMA announces new P1/kg price cut

By ALVIN ELCHICO, ABS-CBN News

Posted at Feb 23 2009 06:26 PM | Updated as of Feb 24 2009 08:25 AM

Liquefied Petroleum Gas Marketers Association (LPGMA) president Arnel Ty on Monday said members of the group are set to rollback the price of their LPG products by another P1 per kilogram or P11 per 11-kg tank effective Tuesday.

The new price reduction would bring the group's total cut to P4 per kg since last week.

Ty said consumers can expect more price cuts in March as contract prices soften in the world market.

"The decrease is currently at $68 or an equivalent roll back of P4/kilo. Its most probable that the reduction in contract price may reach $90 per metric ton. This is equivalent to around P6 per kilo roll back," said Ty.

Meanwhile, the Department of Energy said it expects more price cuts in diesel as the summer season begins and motorists shift to gasoline during the driving season. Energy Secretary Angelo Reyes explained gasoline prices are likely to continue to go up as demand picks up in the US and Europe.

Oil firms implemented Monday a P1 per liter cut in pump prices of their diesel products.