MANILA – Philippines President Ferdinand Marcos Jr. has declared a national energy emergency, pointing to serious risks to the country’s fuel supply as the US-Israel conflict with Iran continues. He signed Executive Order No. 110 late Tuesday, giving the government wider powers to steady the energy market and limit damage to the economy.
The order comes as world oil shipments face major disruption after the Strait of Hormuz, one of the most important routes for Asia’s oil imports, was shut down. Philippine officials say the country has about 45 days of fuel left at current demand levels.
The government said the order responds to an “imminent danger of a critically low energy supply” tied to the Middle East war that began on February 28. Iran’s moves have blocked key shipping lanes, pushed global crude prices higher, and disrupted normal deliveries from Gulf exporters.
The Philippines gets almost 98% of its oil from the Gulf, so it is among the most exposed countries in Asia. Since the conflict worsened, local diesel and gasoline prices have surged. Recent weekly increases have pushed diesel to about P94 to P134 per liter, while gasoline has climbed past P90 in many areas.
Energy Secretary Sharon Garin said the country could face severe shortages within weeks without quick action. Because of that, the government wants to buy an extra one million barrels of oil to build up buffer stocks.
Powers Granted Under the Philippines Emergency Order
The emergency, which will last one year at the start, gives the administration broad authority to respond. These powers include:
- Stabilizing fuel prices through direct action when needed, including steps against hoarding and price gouging
- Speeding up fuel imports from other suppliers, with authority to make advance payments of up to 15% on contracts
- Allowing direct government purchases of petroleum products to avoid delays
- Creating a contingency committee led by the President to manage the orderly flow of fuel, food, medicine, and other basic goods
- Using coordinated measures under existing laws to protect key services and reduce economic disruption
Because of these powers, Manila can move around some of the usual procurement delays. At the same time, officials are looking at all available supply options, including possible US sanctions waivers for purchases from restricted sources.
Current Fuel Supply and Reserve Levels
As of mid-March, the Philippines has roughly 45 days of fuel supply based on normal use. The breakdown includes:
- Gasoline, about 53 days
- Diesel, around 46 days
- Other products, such as kerosene and jet fuel, with tighter supply in some cases
The Department of Energy said most of these reserves come from private industry stocks and incoming cargo, not from a large government stockpile. So officials say they have only about six weeks to lock in more supply before the situation becomes more serious.
In a televised speech, President Marcos said the country would maintain a steady “flow of oil.” He added that the government would secure deliveries, “not just one… but a flow of oil-related products.”
New Import Sources, Including Russia
With Gulf shipments under pressure, the Philippines is moving quickly to find new suppliers. A Russian tanker recently delivered crude oil, according to reports, marking the country’s first such import in five years after the US granted a sanctions waiver.
The government is now seeking more cargo from Russia, China, and other Southeast Asian or non-traditional sources. Energy officials say they are checking every option, including deals with sanctioned countries if proper exemptions are approved.
This marks a practical shift in response to the supply crisis. At the same time, officials plan to raise coal-fired power generation for now, which could reduce demand for liquid fuels used in electricity production.
Higher fuel prices are already hitting transport, farming, and household budgets. Jeepney drivers, delivery riders, and commuters are carrying much higher daily costs. Because of that, many groups are asking for fare hikes and more state support.
The government has introduced limited relief measures, including:
- Cash assistance of P5,000 for many public transport and motorcycle taxi drivers
- Free bus rides for workers and students in some cities
- A four-day workweek for certain civil servants to help cut fuel use
Still, many transport groups say these steps fall short. Piston and other unions have called the declaration a “superficial band-aid,” saying it does not address deeper issues such as oil taxes and deregulation. A two-day transport strike is set to go ahead, showing how much public anger has grown.
Labor groups also say the administration failed to act early enough. Business leaders, however, mostly support the emergency order, warning that a long disruption could affect utilities and weaken the wider economy.
Government Actions and Longer-Term Plans
President Marcos is now leading the government’s emergency response, with a focus on close coordination across agencies. Key steps include:
- Watching supply levels and punishing market manipulation
- Speeding up purchases from alternative energy sources
- Giving targeted aid to sectors hit hardest by rising fuel prices
Officials say the emergency is temporary, but they also say it is needed to avoid wider economic harm. The order does not suspend constitutional rights. Instead, it focuses on fuel security, steady supply, and price control.
Secretary Garin said added shipments could extend the country’s fuel buffer. Even so, the global market remains unstable, and officials admit the outlook is still uncertain.
What the Emergency Means for the Philippines and the Region
The Philippines is the first country to formally declare a national energy emergency because of the Iran-related supply shock. The move highlights how exposed import-dependent Asian economies are when major routes like the Strait of Hormuz are blocked.
Analysts say the emergency gives the government short-term tools, but it does not solve the bigger problem. Over time, the country will need more diverse energy sources, stronger reserve systems, and faster investment in renewables.
For now, the government’s top priorities are clear: secure more fuel imports, control rising prices, and keep daily life and business running. Marcos has said that “nothing is off the table” as the country tries to hold energy supply steady.
