Manila: Sen. Sherwin Gatchalian stated on Wednesday that the government can better manage fuel price fluctuations by establishing a strategic petroleum reserve and reinstating disclosure requirements on oil pricing for enhanced oversight.

According to Philippines News Agency, Gatchalian proposed that a strategic reserve would consist of government-held inventories that could be deployed during supply disruptions to stabilize domestic prices, especially in the transport and logistics sectors. He elaborated on this plan during an interview with Kapihan sa Manila Bay, emphasizing the potential of such reserves to bridge supply gaps effectively.

On the topic of pricing, Gatchalian suggested that oversight could be improved by mandating oil firms to submit detailed cost components, including import prices, freight, and margins, to regulators. This requirement would enable the government to verify whether adjustments in pump prices are justified. He expressed concern over the current lack of transparency, stating, "Government is blind. we don't know how much oil companies earn or how they determine prices."

Gatchalian stressed that while the market remains deregulated, authorities should be equipped with the necessary information to prevent potential abuses during periods of volatility. He advocated for a balanced approach, asserting that the situation should not be left unchecked.

In support of Gatchalian's stance, Senate President Vicente Sotto III recently reiterated the call to repeal Republic Act 8479, known as the Oil Deregulation Law, and to establish a government-managed fuel reserve. Sotto highlighted the proposed Philippine Strategic Petroleum Reserve Act, which aims to create a state-managed petroleum stockpile as part of broader efforts to bolster energy security and reduce dependence on imported fuel.

Sotto emphasized that these measures are integral to a comprehensive strategy designed to protect consumers and enhance the country's resilience against global oil market fluctuations.