Amid escalating tensions between Israel and Iran and the continued surge in global oil prices, the Philippine government is taking firm, proactive, and targeted measures to shield the national economy and protect Filipino consumers, especially the 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.”
To ensure the stability and sufficiency of the nation’s fuel supply, 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. OIC Garin and Undersecretary Alessandro Sales, who supervises the DOE-Oil Industry Management Bureau, are conducting inspections of oil depots in Manila today, June 17, 2025, to ensure compliance. The DOE is also appealing to industry players to implement staggered fuel price adjustments, particularly during sudden and significant spikes in global oil prices, to cushion the impact on local consumers.
In a move to prevent a domino effect on the cost of basic goods and services, the government is prepared to roll out fuel subsidies to sectors directly impacted by fuel price increases, specifically transport and agriculture. As of June 16, 2025, the price of Dubai crude reached USD 73 per barrel. Under 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 a substantial 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. Concurrently, the Department of Agriculture has an allocation of PHP 585 million dedicated to supporting farmers and fisherfolk who may be adversely affected by rising fuel costs.
The DOE will continue to rigorously 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 aimed at maintaining price stability, safeguarding energy security, and protecting the Filipino people from external shocks in the global oil supply chain.
Simultaneously, the government is accelerating its energy efficiency initiatives and promoting the electrification and hybridization of the public transport sector. This long-term strategy aims to reduce the nation’s dependence on imported oil and enhance energy resilience. Through programs supporting the deployment of electric vehicles, modern public utility vehicles (PUVs), and robust charging infrastructure, the DOE seeks to foster a more sustainable and cost-efficient transport system that benefits both operators and commuters.
The Philippine government remains vigilant and responsive, unwavering in its commitment to ensuring that any geopolitical tension does not unduly burden the daily lives of ordinary citizens.
