By Ruth Abbey Gita-Carlos
MANILA – President Ferdinand R. Marcos Jr. has ordered the release of PHP20 billion in emergency fund to ensure the country has an adequate fuel supply amid the global oil crisis brought about by the ongoing conflict in the Middle East.
The Department of Energy will receive the emergency fund through a Special Allotment Release Order and a Notice of Cash Allocation issued on Tuesday, the Department of Budget and Management (DBM) said in a statement on Wednesday.
The DBM said the approved budget will be sourced from the Malampaya Gas Fund under the Special Account in the General Fund.
“The funding will be charged against the Malampaya Gas Fund, ensuring that resources are readily available for urgent national energy security needs without disrupting other priority programs,” it said.
The PHP20 billion will be tapped for the implementation of the government’s Emergency Energy Security Program aimed at ensuring fuel availability, preventing supply shortage, and mitigating the impact of volatile global oil prices.
It will fund the strategic procurement of fuel products, including diesel, gasoline, and LPG, in an effort to boost national fuel inventory, stabilize pump prices, and ensure uninterrupted operations across transport, logistics, agriculture, emergency response, and other critical sectors.
The DBM said the program will be implemented by the Philippine National Oil Company –Exploration Corp. (PNOC-EC), which has already initiated procurement activities to immediately augment domestic supply.
“As global uncertainties continue to affect energy markets, the Marcos administration is taking a firm and proactive stance – ensuring that the Philippines remains resilient, prepared, and protected,” it said.
The latest move comes amid escalating geopolitical tensions in the Middle East that have disrupted global oil production and distribution, posing serious risks to domestic fuel supply and the continuity of essential services.
Marcos on Tuesday signed Executive Order 110, declaring a state of national energy emergency for a year to stabilize the country’s energy sector.
DBM acting Secretary Rolando Toledo said the government would ensure that the fuel remains available, prices are moderated, and essential services are unhampered.
“Every peso we release here is meant to keep the economy moving, keep goods flowing, and keep services running. This is what fiscal discipline looks like – using public funds where they matter most, at the time they are needed most,” Toledo said.
Meanwhile, senators on Wednesday welcomed Marcos’ energy emergency declaration but pressed for broader powers and concrete measures to curb rising prices.
Senator Loren Legarda called for immediate action, proposing to remove VAT on basic goods, fuel and some electricity charges, and is considering a Bayanihan-type law for time-bound powers.
“Ngayon, kinakailangan ang pangkalahatang aksyon ng pamahalaan (Now, what is needed is a whole-of-government action…),” she said.
But Senator Bam Aquino expressed his concern that the move may lack authority to impose price caps on essential goods and pushed for a broader emergency declaration.
“Baka hindi kasama dito iyong price control… puwedeng lagyan ng price cap (It appears price control may not be included… price caps can be imposed),” he said.
Aquino also urged the use of over PHP200 billion in funds for targeted aid.
Meanwhile, Senator Sherwin Gatchalian said President Marcos is on the right track in declaring state of national energy emergency.
“The President’s declaration of a state of national energy emergency is a necessary step that enables the government to take extraordinary measures to cushion the impact of the Middle East crisis on Filipino households and the broader economy. As chair of the Senate Committee on Finance and the PROTECT ad hoc panel, I stand committed to providing legislative support for all appropriate measures during this difficult time. We should ensure that the mechanisms outlined in the EO are implemented efficiently and transparently,” Gatchalian said.
He also urged government agencies to come up with a unified, coordinated national contingency plan that outlines specific actions for various crisis scenarios. (With reports from Wilnard Bacelonia and Leonel Abasola/PNA)
