Fuel prices are on the rise again, with increases taking effect on September 9, 2025. Motorists can expect to pay more at the pump for gasoline, diesel, and kerosene.

Price Hikes

Gasoline prices are set to increase by approximately P1.00 per liter. Diesel prices will see a steeper rise, with an increase of around P1.40 per liter. Kerosene prices will also edge upward, increasing by P0.70 per liter. These adjustments mark the fourth consecutive week of hikes for gasoline and the third straight week for diesel and kerosene.

Several major fuel companies, including Petron, Jetti, Seaoil, Shell, Caltex, Petro Gazz, PTT Philippines, and Cleanfuel, have already announced these price increases. The new prices took effect at 6 a.m. for most companies, with Cleanfuel implementing the changes at 4:01 p.m. on the same day.

Global Factors

These price surges are attributed to several factors impacting the global oil market. Renewed sanctions by the United States on Iranian oil shipments have tightened the global supply. The sanctions target 13 entities and 8 vessels involved in alleged illegal oil shipments, impacting approximately 1 million barrels per day of exports.

The ongoing Russia-Ukraine conflict continues to disrupt energy markets. Escalating tensions have damaged Russian refining infrastructure and the Druzhba pipeline, affecting European energy flows.

OPEC+ (Organization of the Petroleum Exporting Countries) decision to only modestly increase oil production has further constrained supply. The group announced a limited output hike of 137,000 barrels per day starting in October, significantly lower than previous monthly increases.

DOE Monitoring and Advice

The Department of Energy (DOE) has acknowledged the upward pressure on petroleum prices due to these global market dynamics. The DOE assures the public that it is closely monitoring oil price movements and engaging with industry stakeholders to mitigate the impact on consumers. The DOE is also encouraging motorists to adopt fuel-saving habits, such as proper vehicle maintenance, avoiding unnecessary idling, and planning trips efficiently.

Impact on Consumers

These rising fuel costs add to the financial strain on consumers. The cumulative effect of these increases since the start of the year is significant. As of early September 2025, year-to-date adjustments have resulted in a net increase of P12.80 per liter for gasoline, P13.45 per liter for diesel, and P2.75 per liter for kerosene.

Other Factors

In addition to the geopolitical factors and production decisions, other events have influenced fuel prices. India's oil supply has faced pressure due to continued imports of Russian oil, leading Saudi Aramco and Iraq's state oil marketer (SOMO) to pause exports to India. This action follows the European Union's sanctions on entities still conducting business with Russia.