Marcos promises 'flow of oil' as Philippines declares energy emergency

6 hours agoSuranjana Tewari,Asia business correspondent, Manila,Joel GuintoandJessica RawnsleyWatch: An energy emergency has been declared in the Philippines - how are people reacting?Philippine President Ferdinand Marcos says he is working to secure new sources of oil after he placed the country under a state of national energy emergency in response to the war in Iran.Marcos told Filipinos in a televised address that the government would procure one million barrels of oil to add to the current stock, which is good for 45 days."We will have a flow of oil. Not just one delivery, not two deliveries, but a flow of oil-related products," he said.The Philippines, which imports 98% of its oil from the gulf, became the first country to declare an energy emergency after local diesel and petrol prices more than doubled in the country since the war broke out on 28 February.The US-Israel war with Iran and the effective closure of the Strait of Hormuz - a key shipping route - have sent shock waves through global energy markets, causing shortages and price rises.Marcos said the emergency declaration late Tuesday would give the government the legal authority to impose measures to ensure energy stability and protect the broader economy."Nothing is off the table. We are looking at everything we can do, whatever suggestion, whatever idea," he said.Philippine Ambassador to the US Jose Manuel Romualdez had told Reuters that Manila was working with Washington to secure exemptions that would allow the country to import oil from US-sanctioned countries. The Philippines is one of the US' closest allies in the Pacific.Under Marcos' order, a committee has been formed to oversee the orderly distribution of fuel, food, medicines, and other essential goods. The government has also been empowered to directly purchase fuel and petroleum products to shore up supplies.The declaration will remain in place for one year, unless it is extended or lifted by the president.It follows calls from several senators, who urged Marcos to acknowledge the "emergency-level" hardship faced by Philippine families due to soaring oil prices.The price of petrol and diesel spiked again on Tuesday, rising to more than double its pre-war level in February.One of the country's main labour coalitions, the Kilusang Mayo Uno (KMU) strongly criticised the emergency declaration, calling it an "admission" that the government failed to address the oil crisis. It also accused the administration of downplaying the situation earlier, saying previous claims that "everything is normal" were misleading.The KMU also raised concerns about what it describes as "anti-worker provisions" in the executive order - particularly clauses that could restrict activities seen as disrupting economic activity, including strikes. They warn this could effectively limit workers' ability to protest at a time when fuel prices are already hitting incomes.But tycoon Manuel V. Pangilinan, who chairs major utilities companies, has backed the emergency powers. In a statement, he said his companies are feeling the strain of rising energy costs and warned the crisis is beginning to affect business operations, but added that the government "should have every option" available to steer the economy through what he described as a difficult period.Getty ImagesTransport workers and other groups including ride hailing services are planning a two-day strike on Thursday and Friday, reflecting wider anger over rising fuel costs and what they see as a slow or inadequate response from the government.Transport union coalition Piston - which is leading planned strike action - has laid out sweeping demands from scrapping fuel taxes and rolling back oil prices, to abandoning deregulation and introducing state controls. They are also pushing for fare increases and higher wages.Since hostilities in the Middle East began, the government has offered subsidies to transport drivers, reduced ferry services, and implemented a four-day work week for civil servants to save fuel.Earlier on Tuesday, Energy Secretary Sharon Garin said the country had about 45 days of fuel supply left.Garin told reporters the country would "temporarily" depend more heavily on coal-fired power plants to meet its energy needs in response to the surging costs of liquefied natural gas (LNG).More on this story