MANILA -  Diesel prices are expected to rise again next week--the third straight week that the cost of the fuel has increased.

Based on the first three trading days of the week, the price of diesel in the international market has risen by almost P0.30 per liter. With premium diesel, the price hike could go up to P0.50 per liter. But these projections will still depend on the results of trading or the Mean of Platts Singapore on Thursday and Friday.

Fuel prices were already on a downtrend in the last few weeks, but this shifted after tensions rose between Israel and Iran, which could threaten oil transport in the Middle East.

The price of gasoline, meanwhile, remains down by around P1.06 per liter while kerosene remains flat.

Fuel prices have been going up in the last two weeks totalling P1.10 for diesel and P1.55 for gasoline.

B3 NOW IN THE PUMPS

Several gas stations are now selling B3 or diesel with a 3 percent biodiesel blend as mandated by the Department of Energy.

At a branch of Unioil in Pandacan, Manila the pumps are now labeled B3 from B2 or diesel with 2 percent biodiesel.

But station manager Ted Cua said diesel prices remain the same as the company has yet to implement the increase from the higher biodiesel content.

CleanFuel President Bong Suntay says the price increase due to higher biodiesel content will be implemented next week together with the usual adjustments in fuel prices on tuesday.

Suntay worries that with the mandate could push local biodiesel prices, which will also make diesel in the pumps more expensive.