Government Enforces Strict Price Adjustment Limits on Oil Products Amid National Energy Emergency
The Philippine government has officially implemented a new policy that establishes strict limitations on price movements for petroleum products, following the declaration of a national energy emergency. According to the Department of Energy (DOE), this measure does not involve direct control over the actual prices of oil but instead restricts how much prices can be increased or decreased by oil companies.
Mandatory Compliance with Government-Set Adjustments
Under this policy, all oil companies are obligated to adhere to specified minimum rollbacks and maximum price increases. This means that if the DOE announces a price reduction, companies must match or exceed that reduction. Energy Secretary Sharon Garin emphasized that every oil company must comply with the government-mandated adjustments to ensure consistency and fairness across the industry.
For example, if the DOE sets a rollback of P24.94 per liter, companies can offer a larger reduction but cannot go below the government-set price. Conversely, when prices rise, they must not exceed the cap established by the DOE, preventing excessive hikes that could further strain consumers.
Expected Price Reductions and Industry Response
Starting April 21, 2026, petroleum product prices are projected to decrease, with diesel expected to drop by P24.94 per liter, gasoline by P3.41 per liter, and kerosene by P2.00 per liter. The DOE anticipates full compliance from all oil companies regarding these rollbacks, aiming to provide immediate relief to consumers grappling with the ongoing crisis.
Previously, President Ferdinand Marcos Jr. called on oil companies to promptly and fully implement the rollbacks to deliver swift assistance to consumers during this challenging period. This move is part of broader efforts to stabilize the market and mitigate the impact of the energy emergency on everyday Filipinos.
The policy underscores the government's proactive approach to managing economic pressures while safeguarding public interests, as the nation navigates through this critical situation.
