Impact of International Contract Price
In a recent development, liquefied petroleum gas (LPG) prices have surged, prompting households and auto LPG users to brace for higher costs at the start of August. The price hike comes after a period of reductions in the industry.
Household LPG Brands Soar
As the clock struck 12:01 a.m. on August 1, renowned household LPG brands, Petron and Solane, implemented a steep hike of PHP4.55 per kilogram. For an ordinary 11-kilogram household LPG cylinder, this translates to a considerable PHP50.05 increment.
AutoLPG Prices Rise
Adding to the burden, Petron also raised the price of its AutoLPG by PHP2.54 per liter. This further intensifies the impact on consumers, especially those who rely on this fuel for their vehicles.
Understanding the Price Increase
Petron has attributed the price hike to the international contract price of LPG for the month of August. As the global market dynamics shift, the ripple effect is felt across the local LPG industry, affecting consumers and businesses alike.
A Break from Previous Trends
It’s worth noting that the recent increase marks a departure from the trend observed in the past two months. During that period, industry players had been working to reduce LPG prices to ease the financial burden on consumers.
As consumers grapple with the impact of rising LPG prices, industry players and policymakers are closely monitoring the situation. While this price hike poses challenges, stakeholders are keeping an eye on global market dynamics and seeking ways to mitigate the impact on households and businesses.
Sources: THX News & Philippine News Agency.
