March 2025 – PIP – Philippine Institute of Petroleum

WORLD OIL PRICES (March 10-14, 2025, trading days)

The week-on-week price of Dubai crude remained unchanged at around $71.20 per barrel. The international prices of gasoline have decreased by about $0.70 per barrel along with kerosene by about $1.20 per barrel and diesel by around $1.40 per barrel.

Reasons for the Price Adjustment¹

Crude oil futures rose amid a lower-than-expected stock increase in the US and OPEC+ plans to maintain production increases even with increased geopolitical uncertainties.
- The increase in US crude oil stocks were lower-than-expected in the week ended March 7, US EIA data showed March 12. US commercial crude stocks increased by 1.5 million barrels. Stocks have risen since mid-January as US refinery maintenance reduced crude inputs.
- The decision by the OPEC+ group to maintain plans to wind down 2.2 million b/d of voluntary crude production cuts starting in April continued to support current oil market with expectations of robust interest in the coming months.
The Asian gasoline market complex strengthened from previous week on indication of growing US demand and anticipated supply tightness from the upcoming maintenance in Indonesia.
- Supplies continue to remain tight due to turnarounds in the US following the upcoming summer driving season and fewer arbitrage cargoes coming in Asia due to China’s scheduled maintenance have also contributed to the reduced supply.
- Global economic challenges, slowing petrochemical demand recovery and volatile crude prices will continue to pressure market prices in the coming weeks.
The Asian ultra-low sulfur gasoil complex fell amid a well-supplied market and strong inventories. Japan’s gasoil inventories remained largely unchanged. With increase in the onshore commercial middle distillates stocks in Singapore, the market remains well supplied with no immediate shortage expected.
The Asian kerosene/jet complex was weighted down by ample regional supply availability and reduces demand. The decline of winter demand in East Asia has led to slower consumption, exerting downward pressure on the market. Seasonal changes have resulted in reduced demand, contributing to market softness.

FOREX: The week-on-week average of Philippine peso appreciated versus the US dollar by P0.22 to P57.33 from P57.55 in the previous week.

DOMESTIC OIL PRICES

Effective 18 March 2025, local oil companies implemented a decrease of P0.20/liter for diesel and P0.40/liter for kerosene. No adjustment for gasoline.

Year-to-date, gasoline and diesel have a total net increase of P2.15/liter and P2.85/liter respectively while kerosene has a total net decrease of P0.70/liter.

For the updated prevailing retail pump prices, please refer to this link:

https://www.doe.gov.ph/price-monitoring-charts?q=retail-pump-prices-metro-manila

Other recommended reference sites:

1 Asia Pacific 14 March 2025 Weekly Oil Recap by S & P Global Platts Analytics

For more information, call the

Department of Energy
Pricing: 8840-2187
LPG: 8840-2130
Fuels: 8840-5669

Website: https://www.doe.gov.ph

At the start of 2025, the Philippine Institute of Petroleum (PIP) has been actively engaging with key government agencies to address industry concerns and collaborate on regulatory developments, that can help improve the country’s energy sector. The series of consultative meetings between PIP and these vital government agencies reflects the institute’s commitment to promoting transparency, compliance, and collaboration. By aligning with the Department of Energy (DOE), the Bureau of Internal Revenue (BIR), and the Bureau of Customs (BOC), PIP aims to shape policies that will not only improve the efficiency in doing business but also contribute to the nation’s energy and country’s economic growth.

The PIP calls for stronger support to curtail fuel smuggling. The PIP met with the BOC Deputy Commissioner Teddy Raval last 24 January 2025 to discuss the direction of the fuel marking program and to reinforce implementation at the retail stations. The Philippine government through the Department of Finance (DOF) launched the Fuel Marking Program in August 2019 to combat oil smuggling in the country thereby generating revenues to finance various infrastructure programs and social investments throughout the nation. The Bureau recently reported P242 billion in duties and taxes that were collected in 2024 under its fuel marking program (Business Mirror, 12 February 2025).

In the said meeting, the PIP and the BOC, together with the other players in the downstream oil industry agreed to strengthen coordination to help address fuel smuggling and improve the fuel marking program. The PIP has been advocating to the BOC to reinforce field testing at the retail sites and promote transparency through the conduct of third-party testing and validation.

The industry pushes for continued tax reforms and improvements. As the BIR plays a crucial role in the collection of taxes and the enforcement of fiscal policies in the Philippines, the PIP’s consultative meeting with the Bureau last 11 February 2025 aims to further streamline policies and compliance with tax regulations in the petroleum industry. The PIP requested to be enlightened on the Bureau’s major policies and programs for 2025 and to share feedback on some of the current tax-related concerns affecting the industry such as those related to tax refunds for jet fuel for international flights and reduction of the corporate withholding tax, and removal of the manufacturer’s and importer’s surety bond requirement, among others.

The PIP Tax Committee has been actively working with the Bureau through a constructive dialogue on industry concerns and reiterated the PIP members’ support to the Bureau’s initiatives to make the tax compliance process clear, simple, and convenient for taxpayers to comply.

The PIP has long been a vital partner of the DOE, particularly in formulating policies that affect the petroleum industry. This has started since the drafting and enactment of the Oil Deregulation Law (RA 8479) in 1998.

The PIP leads the development of petroleum products and facilities standards. Last 13 February and 18 February, the PIP and representatives of its member companies attended the meetings called by the DOE Oil Industry Management Bureau (OIMB) Technical Committee on Petroleum Products and Additives (TCPPA) and the Technical Committee on Petroleum Processes and Facilities (TCPPF), respectively.

The TCPPA meeting highlighted the technical committee’s accomplishments for 2024. The PIP member companies including other oil companies took this opportunity to raise a concern about the inadequate supply and high prices of coconut methyl ester (CME). The CME is derived from coconut oil and is blended to all diesel fuel sold across the country at 3% since October 1, 2024. The prices of CME has doubled after the implementation of a higher biodiesel blend.

The TCPPF meeting, on the other hand, finalized the product national standard (PNS) for LPG Import Facility that will be endorsed to the Bureau of Product Standards for approval. Two of the PIP members, namely Petron and Isla Gas, are active members of the Technical Working Group that facilitated the development of the said PNS.

13 February 2025 TCPPA meeting

18 February 2025 TCPPF meeting and signing of the PNS for LPG Import Terminal

11 February 2025 consultative meeting with the BIR Large Taxpayers Service Group