Recto, oil execs discuss energy measures

MANILA, Philippines —  As the nation struggles to cope with rising prices of fuel and basic goods due to the war in the Middle East, Executive Secretary Ralph Recto met with business groups at Malacañang on Monday to discuss further aligning of strategies to ease the impact of the crisis on people and industries.

At the meeting, Recto assured the 22 leaders of nine business groups of swift government action on their concerns, including rising logistics costs and port congestion.

Recto also met with 25 executives from 14 petroleum companies for a “wide-ranging dialogue on supply, inventory and cost issues.”

“In the latter, we took a dipstick reading on our country’s fuel tank,” Recto said in a statement, noting Energy Secretary Sharon Garin’s earlier announcement that the country’s fuel supply was good for 50 days.

“And we are hopeful that oil diplomacy should not only keep our stocks replenished, but build them up,” Recto said.

In both meetings, Recto said he assured business leaders “of an open line of communication not only with Malacañang but with all government agencies.”

“That is why since Day One of this conflict, the President’s instruction was to reach out to business, civic leaders, local government executives and get their views, and many, in fact, have been inputted in our response,” Recto said.

Business groups represented at the meeting were the Semiconductor and Electronics Industries in the Philippines Foundation Inc., Philippine Chamber of Commerce and Industry, Management Association of the Philippines, Federation of Filipino-Chinese Chambers of Commerce and Industry Inc., IT and Business Process Association of the Philippines, Makati Business Club and the Ease of Doing Business Foundation Inc.

Also present aside from Garin were Department of Economy and Planning Development Secretary Arsenio Balisacan, Presidential Communications Office Secretary Dave Gomez, Senior Deputy Executive Secretary Maria Luwalhati Dorotan Tiuseco, PCO Undersecretary Claire Castro and OES Undersecretary Erwin Sta. Ana.

Bottlenecks

As rising fuel costs jack up the prices of goods being transported, business leaders urged logistics bottlenecks be cleared and trade facilitation sped up, the executive secretary said.

On port congestion, Recto said he referred their proposal to open container yards outside Metro Manila to the Bureau of Customs “for immediate action.”

Another proposal, to revisit the duration of the truck ban hours, has been sent to the Metropolitan Manila Development Authority for “urgent review and action,” he said.

“Diesel accounts for approximately 70 percent movement costs and one container van carries the products made by hundreds of workers and needed by thousands of consumers,” a readout of the meeting said, noting that “delay is cost passed on to the consumers.”

Business leaders also called for more efficient online transactions of documents as an energy saving measure.

Recto said their appeal for lower fees charged by local governments “will be fast tracked.”

“With or without this conflict, we should be removing friction costs across the supply chain,” he said. “This includes unnecessary checkpoints, especially for those transporting perishable foods.”

Recto also asked the private sector’s support by adopting energy-saving measures, implementing flexible work arrangements to reduce fuel demand and cooperating in preventing unfair pricing practices.

“This is a time for partnership of all, and not profiteering of the few,” he said.

On Tuesday, President Marcos convened the Unified Package for Livelihoods, Industry, Food and Transport (UPLIFT) committee, which is tasked to craft policies aimed at easing the impact of soaring fuel prices on Filipinos. Malacañang has not released details of the meeting, although Marcos is expected to deliver statements on the government’s response measures today.

The committee is composed of the Office of the President, and of the budget, finance and economic planning and development departments. The Bangko Sentral ng Pilipinas serves as its resource institution.

P238 billion available

The government has identified up to P238 billion that can be mobilized to cushion the impact of rising fuel prices, with the Marcos administration opting for targeted assistance instead of across-the-board subsidies, acting Budget Secretary Rolando Toledo told the House committee on ways and means yesterday.

Speaking before the Legislative Energy Action Development Council, Toledo said the amount would come from available appropriations under the 2026 budget and continuing funds. – Alexis Romero, Jose Rodel Clapano