Text and photo by Tracy Cabrera
MALATE, Manila — Amid the growing threat and impact of the ongoing conflict in the Middle East, Senate President Vicente ‘Tito’ Sotto III said it is high time to establish a national strategic petroleum reserve to ensure energy security for the Philippines.
Speaking at a media forum in Malate, Sotto noted that the recent attacks in Middle Eastern countries, which have affected key roads, straits, and oil refineries, have led to higher petroleum prices that could adversely affect the Philippine economy in the coming days.
“This is why I filed Senate Bill No. 1934, also known as the Philippine Strategic Petroleum Reserve Act, to establish a strategic petroleum reserve owned and managed by the national government through the Department of Energy (DoE), mandated to maintain petroleum stocks equivalent to at least 90 days of the country’s average national consumption,” he explained.
“At present, the country does not maintain a comprehensive, state-managed strategic petroleum reserve capable of cushioning prolonged supply interruptions,” the Senate President added.
The explanatory note of Sotto’s proposed measure states that the Philippines remains heavily dependent on imported petroleum products to sustain transportation, agriculture, manufacturing, power generation, logistics, and essential public services. It is therefore incumbent on the state to address this vulnerability in preparation for a potential crisis.
“This structural dependence exposes the country to external supply shocks arising from geopolitical conflicts, regional instability, maritime disruptions, sanctions regimes, climate-related disasters, and speculative volatility in global oil markets,” he noted.
Under SB 1934, reserve facilities would be established nationwide to store crude oil and refined petroleum products, including diesel, gasoline, jet fuel, liquefied petroleum gas, and other energy products deemed critical by the Department of Energy.
To ensure legality and effectiveness, Sotto clarified that the emergency release of petroleum products from the reserve would be authorized by the President on the recommendation of the Strategic Energy Security Council under circumstances including, but not limited to, severe supply disruptions, declaration of a national emergency, extraordinary price volatility threatening economic stability, and natural disasters.
In conclusion, he stressed that preparedness is not optional but a responsibility, underscoring “the establishment of a law that secures a forward-looking investment in national stability, economic continuity, and sovereign resilience.”
elamigo/xf
