Why did the Gas prices go up?

Nieves, Seth Eized Niño M.

Mar 25, 20222 min read

Updated: Apr 24, 2022

Local pump prices of gasoline and other petroleum products are rising at a pace never seen before and the Department of Energy (DOE) has warned consumers to brace for bigger increases. According to assistant director Rodela Romero of the department's Oil Industry Management Bureau, the DOE is also considering alternative measures to give temporary assistance to consumers, whether in connection to liquefied petroleum gas (LPG) or other petroleum products.

So according Romero, a larger adjustment might be expected as a result of the restriction on Russian oil imports imposed as a result of the country's invasion of Ukraine, which will restrict supplies and drive up oil prices.

Caltex, Petron, Seaoil, Unioil, Petro Gazz, Flying V, Clean Fuel, and PTT issued separate advisories on Monday, stating that the price rise for diesel would be P13.15 per liter, P7.10 per liter for gasoline, and P10.50 per liter for kerosene, all effective at midnight Tuesday. This might push local gasoline and diesel prices up to P84 and P94, respectively.

Motorists will now pay P31 more for a liter of diesel, P20 more for a liter of gasoline, and P25 more for a liter of kerosene compared to last year. This month, LPG prices increased by P7.95 per kilo. And so the question "Why did the gas prices go up" is plaguing the common people's minds.

How fuel is made

Image source: https://images.theconversation.com/files/428991/original/file-20211028-25-frti3a.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1200&h=900.0&fit=crop

In order to gain a proper understanding of what the fuel we use is. There is a video below that explains the processes involved in its creation.