Gov’t slashes fuel prices, expands driver subsidies amid oil volatility

The government on Tuesday announced significant fuel price rollbacks alongside targeted subsidies for public utility drivers, as authorities respond to ongoing global oil market uncertainties.

Department of Energy Undersecretary Sharon Garin said diesel prices would be reduced by P20.89 per liter, gasoline by P4.43, and kerosene by P8.50. However, she noted that implementation details are still being finalized.

“We still need to make the computations… then the DOF or BIR needs to draft the guidelines on how to implement,” Garin said, emphasizing that the measures aim to cushion the impact of rising global oil prices on consumers.

Despite the volatility, Garin said the country’s fuel reserves remain stable. Current supply levels are estimated at 36 days for liquefied petroleum gas, 105 days for kerosene, 49 days for diesel and 54 days for gasoline. Additional LPG orders have been placed to extend supply to 50 days.

“Maganda pa naman ang supply level natin,” Garin said, but cautioned that this could change depending on developments in key global chokepoints such as the Strait of Hormuz and the availability of oil from other countries.

To address long-term energy security, the DOE is accelerating renewable energy initiatives, including solar rooftop expansion, improved metering systems and increased integration of alternative energy sources.

Meanwhile, the Department of Transportation is rolling out a fuel subsidy program to support public utility vehicle drivers. Assistant Secretary Giovanni Lopez underscored the importance of the initiative, saying it would help ensure uninterrupted transport services.

“Importante po itong programang ito kasi mas matitiyak po natin na tuloy-tuloy ang pasada ng ating mga jeepney at saka UV Express,” Lopez said.

Under the program, jeepney and UV Express drivers will receive a P10-per-liter diesel discount at participating gas stations.

The initiative will initially cover 52 stations across Metro Manila, with 33 already enrolled and more in the process of joining. Drivers need only present their registered vehicles to avail of the benefit.

The subsidy is capped at 150 liters per week, equivalent to a maximum of P1,500 in savings. Lopez clarified that unused allocations will not carry over. “Makakaasa ang ating mga pampublikong sasakyan… ng maximum of P1,500 per week,” he said.

The pilot rollout in the National Capital Region is expected to benefit more than 171,000 jeepney and UV Express units.