A significant rollback in pump prices of petroleum products is expected next week, driven by developments in the global oil market, the Department of Energy said.

According to the Oil Industry Management Bureau (OIMB), gasoline prices could go down by as much as 4 pesos per liter. Diesel prices may see a steeper reduction ranging from 7 to 8 pesos per liter, while kerosene could drop by 9 to 10 pesos per liter.

The projected rollback is attributed to ongoing peace talks between the United States and Iran, which have eased concerns over potential supply disruptions and contributed to lower global oil prices.

The estimates, however, are based on the first four days of trading in the international market and may still change depending on price movements on the final trading day of the week.

Oil companies are currently required to comply with government-imposed pricing limits under a state of national energy emergency. This means firms must follow a prescribed minimum rollback and maximum increase in pump prices.

The policy prevents oil companies from implementing price adjustments beyond the government’s set thresholds, either upward or downward.

Energy Secretary Sharon Garin earlier said the government is reviewing the mandated oil price adjustment policy to ensure that fuel retailers do not incur heavy losses that could force them to shut down operations.