Energy Secretary Sharon Garin assured lawmakers on Wednesday that the Philippines has sufficient refined fuel products—including gasoline, kerosene, and diesel—to last until April, even as pump prices are expected to rise due to geopolitical tensions in the Middle East.
“On the price point, currently it’s inevitable. The price of fuel, the pump price, will go up. One possibility that we could also temper the sharp increase is having more biofuel, especially on gas, not on diesel,” Garin said during a Senate Committee on Energy hearing.
The session focused on proposed amendments to the Biofuel Act of 2006 under Senate Bill No. 1485, which seeks to temporarily suspend the biofuel blend requirement for up to one year if blended fuel prices exceed pure gasoline or diesel by at least 5%.
Senator Pia Cayetano, chair of the Senate Ways and Means Committee, explained that the aim is to shield Filipino families from sudden fuel spikes while ensuring long-term energy security.
Currently, domestic biofuel costs around ₱75 per liter, compared with imported biofuel at ₱37 per liter, which is lower than gasoline priced at ₱43 per liter. Local ethanol producers warned that suspending the blend requirement could impact nearly 100,000 farmers who supply molasses for ethanol production.
“We’re not here to kill the industry. We’re trying to balance it with what our fuel needs is,” Garin said, emphasizing the need to protect both consumers and the local biofuel sector.
Senator Win Gatchalian highlighted the challenge of balancing cheaper imports with support for domestic ethanol producers.
“We cannot erase the fact that ethanol is cheaper abroad. At this time, what consumers want is cheaper ethanol. That is the dilemma right now. We want to help the industry, but the industry is selling expensive local ethanol compared to imports,” he said.
Lawmakers are now considering whether temporarily suspending the local sourcing mandate could ease consumer costs while sustaining the long-term viability of the biofuel industry.