Even if the US-Israel war against Iran ends, prices of petroleum products will not immediately bounce back to levels before the Middle East conflict broke out, according to Department of Energy (DOE) Secretary Sharon Garin.
In a press briefing, Garin explained that higher delivery costs, damage to oil sites, and other global factors will continue to keep fuel prices elevated despite Iran’s assurance for the safe passage through the Strait of Hormuz of Philippine-bound vessels.
“This price went up in one month, triple na tayo. It went up day, week-on-week. [Why?] Because they kept on bombing the oil fields, all the infrastructures in the Middle East, and those are our sources,” she told reporters.
Garin said the Philippines is heavily dependent on imports from the Middle East, noting that “99 percent of our oil comes from there, and 20% of the whole world.”
The Ilongga official also shared that the DOE recorded a 25-percent drop in fuel demand in the country, which helped stabilized domestic supply.
“We’re at a level where we don’t need rationing because there’s enough supply, and in fact, the demand is going low. Mga 20 to 25 percent ang decrease ng demand ngayon,” Garin said.
Former DOE secretary Jericho Petilla also shared the same sentiment, advising Filipinos to prepare for a prolonged period of high pump prices.
“Fearless forecast: There is no more, huwag na kayong umasang babalik pa ng P61 ‘yan,” Petilla said in a TV interview
“Ang diesel will be P100 or a little over P100, and then gasoline is a little under P100 kapag nag-normalize na lahat dahil maraming infrastructure na nasira sa ating mga refineries at mga oil extraction sa Middle East,” he added.IMT
