Garin: The government is doing its best to cushion the impact of high oil prices: The government is actively pursuing measures to help cushion the impact of rising oil prices on both domestic fuel and electricity costs amidst the renewed military exchanges in the Middle East.
According to Philippines News Agency, data released by the Department of Energy (DOE) indicates that starting Tuesday, gasoline prices will increase by PHP3.65 per liter, diesel by PHP10.68 per liter, and kerosene by PHP11.77 per liter. DOE Secretary Sharon Garin emphasized that the Philippine government has no control over these price adjustments as they are influenced by the ongoing conflict in the Middle East and the deregulated nature of the domestic oil industry.
Garin stated that while no one in the Philippines can alter the direction of oil prices, the government can mitigate their impact through measures such as providing fuel subsidies to public utility drivers and operators. The government has also requested oil firms and distribution utilities to implement staggered price hikes to ease the burden on consumers. She noted that this practice is voluntary but generally heeded by companies.
Garin assured the public that fuel supply remains sufficient, with inventories above the 30-day mandate under the law. As of July 17, gasoline supply is adequate for 43.77 days, diesel for 45.94 days, kerosene for 139.97 days, jet fuel for 82.31 days, fuel oil for 28.83 days, and LPG for 34.30 days. Despite the stable supply, the challenge lies in managing prices driven by global market forces.
Seaoil, in an advisory, announced that it will increase gasoline prices by PHP3.60 per liter starting 6 a.m. Tuesday. Diesel prices will see hikes of PHP8.20 effective 6 a.m. Tuesday, with additional increases of PHP1.20 per liter on both Wednesday and Thursday. Kerosene prices will also rise by PHP8.10 per liter at 6 a.m. Tuesday, followed by increases of PHP2.30 per liter on Wednesday and PHP1.20 per liter on Thursday. Similarly, Petron will implement a PHP3.60 per liter increase in gasoline prices by 6 a.m. Tuesday, along with diesel and kerosene hikes.
The DOE's fuel subsidy program, as explained by Assistant Secretary Alessandro Sales, has released approximately PHP327 million to around 87,582 beneficiaries. This program, implemented by the Land Transportation Franchising and Regulatory Board and the Land Bank of the Philippines, enables qualified public utility vehicle drivers to avail a PHP10 per liter fuel discount for up to 150 liters weekly, with participation from 2,913 fuel stations nationwide.
Energy Undersecretary Rowena Cristina Guevarra highlighted that electricity prices are expected to rise due to the global oil price increase. She urged distribution utilities to prioritize using cheaper fuel sources and called on power consumers to conserve electricity to reduce reliance on higher-priced power plants.
