Amid escalating tensions between Israel and Iran and the continued surge in global oil prices, the government is implementing proactive and targeted measures to shield the economy and protect Filipino consumers, especially those most vulnerable, from the ripple effects of global market volatility.
“As we face continued volatility in the global oil market, the Department of Energy (DOE) is taking firm and proactive steps to protect the welfare of our people,” said DOE Officer-in-Charge (OIC) Sharon S. Garin. “Our immediate priority is to ensure that our fuel supply remains stable and sufficient, and that any local price adjustments are managed in a way that minimizes disruption to our economy. Through close coordination with the oil industry and strict monitoring of inventory levels, we are working to maintain energy security while preparing targeted interventions to support the most affected sectors.”
Oil companies are currently mandated to maintain at least a 30-day inventory of crude oil and a 15-day inventory of finished petroleum products. To ensure compliance with this requirement, OIC Garin and Undersecretary Alessandro Sales, who supervises the DOE-Oil Industry Management Bureau, will both conduct inspections of oil depots in Manila today, 17 June 2025. The DOE is also appealing to industry players to implement staggered fuel price adjustments, especially in cases of sudden and significant spikes in global oil prices, in order to cushion the impact on local consumers.
In addition to supply monitoring, the government is prepared to roll out fuel subsidies to sectors directly impacted by fuel price increases, specifically transport and agriculture. This measure aims to prevent a domino effect that could drive up the cost of basic goods and services.
As of 16 June 2025, the price of Dubai crude reached USD 73 per barrel. Under the existing policy, fuel assistance for public transport drivers and farmers is automatically activated when the price breaches USD 80 per barrel.
The 2025 General Appropriations Act (GAA) provides an allocation of PHP 2.5 billion through the Department of Transportation for fuel subsidies to drivers of public utility vehicles, taxis, ride-hailing services, and delivery platforms nationwide. Meanwhile, the Department of Agriculture has an allocation of PHP 585 million to support farmers and fisherfolk in the agricultural sector who may be adversely affected by rising fuel costs.
The DOE will continue to monitor and analyze real-time global energy market data to inform timely, evidence-based policy responses. These efforts are part of a broader whole-of-government approach to maintain price stability, safeguard energy security, and protect the Filipino people from external shocks in the global oil supply chain.
At the same time, the government is accelerating its energy efficiency initiatives and promoting the electrification and hybridization of the public transport sector to reduce dependence on imported oil and enhance long-term energy resilience. Through programs supporting the deployment of electric vehicles, modern PUVs, and charging infrastructure, the DOE aims to foster a more sustainable and cost-efficient transport system that benefits both operators and commuters.
The government remains vigilant and responsive, committed to ensuring that any geopolitical tension does not unduly burden the daily lives of ordinary citizens. ###