PRESIDENT Ferdinand “Bongbong” Marcos Jr. announced today that the government will implement fuel subsidies to cushion the expected rise in oil prices stemming from the escalating conflict between Israel and Iran.
In a press interview, President Marcos acknowledged the inevitable impact of the conflict on global oil prices, citing the potential disruption of oil flow through the Strait of Hormuz if the situation worsens. He stated, “We are starting already with the assumption that the oil prices will in fact go up… the prices will certainly be affected.”
The President recalled the fuel subsidy program implemented during the pandemic, primarily benefiting public transport drivers, and confirmed its revival to address the current crisis. He emphasized that the subsidies will extend beyond public transport, encompassing other sectors significantly affected by potential oil price instability. “Now we will have to do the same for those who are severely affected, stakeholders, by any instability in the price of oil,” he said.
This renewed fuel subsidy program will operate under the existing policy, automatically activating when the price of Dubai crude surpasses $80 per barrel. The government’s proactive approach aims to mitigate the economic consequences of the Israel-Iran conflict on the Filipino people.
