LPG prices spike may hit record high of P30/kg

MANILA, Philippines, March 27 ------ Due to the continuing impact of the Middle East conflict on the cost of fuel products, the price of liquified petroleum gas (LPG), which is used in the kitchen by about half of Filipino households, could spike by at least P30 per kilogram (kg).

Arnel Ty, founder of LPG Marketers Association Inc. and president of the company Regasco, said the record increase per kilo would translate to an additional P330 for an 11-kg LPG cylinder. Suppliers will do a staggered implementation of the price increases, which will be pushed by Saturday, March 28. They would then initially impose a P20 per kilogram hike on that day. And by April 1, they would be expected to increase the LPG price by another additional P10 per kilogram.

The expected surge in LPG prices is still being blamed on the Iran war, which led to higher shipping costs and contract prices. Once implemented, LPG prices in Metro Manila could hit as high as P1,465 per cylinder. Based on the Department of Energy’s (DOE) price monitoring, LPG prices in the capital region ranged from P825 to P1,135 per 11-kg cylinder this month.

Despite the looming price adjustment, which Ty noted would be “the highest in history,” he assured that the country has enough supply for at least a month. While the market is seeing no supply shortage for LPG, the government and oil companies are nonetheless scrambling to secure more supplies of petroleum products.

Ty said LPG suppliers have enough supply for the next 30 to 40 days. The DOE, on the other hand, earlier said the current inventory of LPG was sufficient for about 24 days. Pryce Gases Inc. said it was seeing “no immediate shortage.” “We have stocks that will last up to the end of April,” it said in a message.

Solane LPG likewise assured the public that it “maintain[s] steady operations and remain well-positioned to support the needs of our customers. “We continue to actively secure and diversify our supply sources to help ensure the sustained availability of our product. At the same time, we are closely coordinating with the Department of Energy and other relevant government agencies to align our efforts with national energy priorities,” Solane LPG added in a statement.

Citing a recent survey, Ty said the Philippines consumes 150,000 metric tons of LPG monthly. About 50 percent of Filipino households rely on LPG, while the remaining half use other cooking fuel, like wood, charcoal and kerosene. Think tank Fitch Solutions reported in August 2023 that the Philippines was emerging as the second largest LPG importer in Southeast Asia.

The country had close to 14,000 LPG refilling stations that year, up from 7,655 in 2020. As of September 2025, based on DOE data, the overall demand for LPG stood at around 2,774.43 million liters. The total LPG demand for household use, on the other hand, stood at around 2,269.64 million liters. The DOE listed Australia, Brunei, China, Hong Kong, Kuwait, Malaysia, Qatar, Singapore, and Vietnam as sources of imported LPG in 2025.

Source: cebudailynews.inquirer.net