The year 2000 saw a period where a series of petroleum price hikes was experienced to reach an average high of 32 percent for the first nine months of the year. From 9.44 pesos per liter in December 1999, average petroleum price rose to 12.43 pesos per liter in September 2000.

The Input-Output Price Cost Analysis used by the National Statistical Coordination Board (NSCB) to estimate price increases resulting from the petroleum price hikes from December 1999 to September 2000 showed the following:

1. Electricity would have a 10 percent price increase for every kilowatt-hour consumed;

2. Bus and jeepney fares would increase by 9 and 6 percent, respectively;

3. The overall production cost of industries would increase by 2 percent. Electricity, trading and construction were the three industries with the highest increases in cost of production. They would increase by 0.24, 0.22 and 0.11 percent, respectively; and

4. Among the household expenditures, rice and corn, electricity and jeepney fares would be highly affected by the 32 percent increase in petroleum, increasing by 0.11, 0.10 and 0.08 percent, respectively.