Government officials and oil company executives have firmed up plans to ensure a steady fuel supply in the Philippines as conflict in the Middle East continues to drive global oil market volatility.
Executive Secretary Ralph Recto said a meeting was convened at Malacañang Palace on March 12 to address oil supply and pricing concerns.
Recto said the meeting was held “amidst the volatility we are seeing,” emphasizing that the initiative was carried out under the directive of President Ferdinand Marcos Jr. to shield Filipinos from the impact of rising fuel costs.
“Pursuant to the directive of the President to protect our people from the impact of surging oil prices,” Recto said.
He noted that the government is pursuing measures on multiple fronts, including energy conservation campaigns and lifeline subsidies for transport groups.
Recto added that one of the President’s key actions was certifying as urgent a bill that would grant him authority to suspend or reduce excise taxes on petroleum products during economic emergencies.
“The President wants the bill on his desk immediately so he can sign it,” Recto said.
Recto also underscored that potential supply chain disruptions remain the biggest risk, but assured that oil companies have committed to managing operational challenges. He said alternatives are being explored should the conflict further restrict global supply.
“This is the kind of oil diplomacy that oil executives and the government will have to jointly undertake,” he remarked.
Meanwhile, Sharon Garin, who joined the meeting, directed oil firms to ensure that pump price adjustments reflect actual market conditions.
She warned that “any premature, excessive, or unreasonable increase in fuel prices will not be tolerated and will be addressed firmly.”
The conflict escalated after the United States and Israel launched “Operation Epic Fury” on February 27, targeting government facilities in Iran to deter its missile program.
Iran later retaliated with airstrikes on U.S. bases across the region, disrupting supply chains from where the Philippines sources around 98% of its crude oil.
As a result, local fuel prices rose by at least ₱10 per liter this week, with the Department of Energy projecting further increases of ₱17 to ₱24 per liter between March 10 and 16.