30/04/2026
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๐ฅ๐๐๐ | Who pays the price?: Oil prices and the Filipino cost of the oil crisis
The recent conflict in the middle-east between Iran and USโIsrael has resulted in the former effectively closing the Strait of Hormuz, a passage where 20% of the worldโs supply of oil and liquified natural gas passes. The Philippines imports most of its crude oil, liquid petroleum, and liquified natural gas. Additionally, it imports 98% of its crude oil supply from the Middle East. This event has left the country suffering from rising oil prices, which, in turn, have affected ordinary citizens. Because of the nationโs oil deregulation law, the government cannot influence the oil prices, leaving companies the discretion of passing higher acquisition and import costs to the consumers. Transportation costs increase, goods become more expensive, and the daily cost of living continues to increase. Those in vulnerable sectors, including jeepney drivers and farmers, especially bear the brunt brought by the oil price hike. While efforts are being made by the government, these short-term measures do not address the conundrum of vulnerability and dependence. The country must re-evaluate existing policies, strengthen welfare institutions, and establish a strong national oil industry.
Keywords: Oil crisis, oil deregulation law, transportation costs
Written by: Sasha De Quintos
Pub Mat by: Seyah Villacorta
