By Chloe Mari A. Hufana, Reporter
THE Philippines doesn’t have to declare a state of national emergency to take over the oil industry because the situation stays “on top of things,” the Presidential Palace said on Tuesday, amid rising fuel prices driven by the Middle East crisis.
“We will not be yet in that situation,” Palace Press Officer Clarissa A. Castro said Filipino in a livestreamed press briefing.
The federal government, through the Department of Energy (DoE) under Secretary Sharon S. Garin, maintains a continuing communication with oil firms and their leaders, she noted, adding Congress’ move to draft a measure that grants President Ferdinand R. Marcos, Jr.’s emergency powers to cut back or suspend excise tax on fuel.
“Our only request is that, given the present circumstances, allow us to refrain from activities similar to fear‑mongering, which only add to the anxiety of our people,” Ms. Castro also said.
“The President and the federal government remain in charge of the situation.”
Ms. Castro’s comments followed calls for Mr. Marcos to declare a state of national emergency for the federal government to temporarily take over the oil industry to control fuel prices.
House Deputy Speaker Raymond Democrito C. Mendoza earlier this week said the President can invoke Section 14(e) of Republic Act No. 8479, which states that “in times of national emergencies, when the general public interest so requires, the DoE may, through the emergency and under reasonable terms prescribed by it temporarily takeover or direct the operation of any person or entity engaged within the industry.”
The lawmaker said that while the conflict is hundreds of kilometers away, it becomes a national emergency when it begins dictating how Filipino families eat, ride and pay for his or her needs.
Asked in regards to the Palace’s position on calls to repeal Republic Act No. 8479 or the Oil Deregulation Law, which liberalized the oil industry, Ms. Castro said it’s as much as Congress.
“It’s as much as Congress to come to a decision what they think or what they see nearly as good for our country, and in the event that they can show or influence our President through their drafting of laws, all that can profit the country, the President is not going to oppose it,” she added.
Ms. Garin earlier said the agency has no authority to set price ceilings on fuel prices as a consequence of the said law but added she is in favor of revisiting the law to a certain extent.
Noel M. Baga, co-convenor of the Center for Energy Research and Policy think tank, said the Philippine government already has sufficient legal authority to shield consumers from surging fuel prices during crises, pushing back against calls for more drastic state intervention within the oil industry.
Existing laws similar to the Price Act of the Philippines and the Philippine Disaster Risk Reduction and Management Act allow authorities to impose price ceilings on petroleum products during a declared national emergency, he said.
These powers, he added, will not be curtailed by the Oil Deregulation Law, countering claims that government intervention would violate the country’s liberalized downstream oil market framework.
“The legal tools to guard consumers are already there,” he said via Facebook Messenger. “There is no such thing as a need for an industry takeover when these powers exist already.”
As an alternative, the constraint lies in execution. Deploying price controls would require stronger political resolve as global oil volatility feeds into domestic inflation, disproportionately affecting low- and middle-income households.
“Every peso added to fuel prices is a peso taken from Filipino families,” he said.
Over the long run, structural reforms remain key. Expanding domestic renewable energy capability would cut back the Philippines’ exposure to external price shocks and lessen dependence on imported fuel, he said, providing a more durable solution than short-term market interventions.