TLDR:

• The Philippines imports 98% of its oil from Gulf nations, all directly disrupted by the ongoing Iran war conflict.
  
• Fuel prices have nearly tripled since February 28, with diesel hitting 130 pesos and LPG reserves lasting just 24 days.
  
• President Marcos signed Executive Order 110, granting authority over fuel rationing and essential goods distribution nationwide.
  
• Labor union KMU warned the emergency order could restrict worker strikes, with transport workers planning a two-day strike this week.

The Philippines has become the first country to declare a national energy emergency linked to the ongoing Iran war. President Ferdinand Marcos Jr. signed Executive Order 110 on Tuesday.

The order cites an imminent danger to the country’s energy supply stability. With roughly 45 days of fuel remaining on average, the government is moving quickly.

The declaration grants broad authority over fuel purchasing, rationing, and distribution of essential goods across the nation.

A Nation Running Low on Fuel

The Philippines imports 98% of its oil from the Gulf region. Its top three suppliers — Saudi Arabia, the UAE, and Iraq — are all caught up in the conflict.

Together, these three nations account for billions of dollars in annual oil exports to the Philippines. With the Strait of Hormuz effectively shut down, those supply lines have been severely disrupted.

Saudi Arabia has already cut oil exports to Asia for a second straight month. Meanwhile, the Philippines produces just 14,300 barrels of oil per day domestically.

The country consumes around 474,000 barrels daily, leaving a 97% gap between supply and demand. That gap is now at the center of a deepening national crisis.

As TFTC noted on X: “The Philippines just became the first country in the world to declare a national energy emergency over the Iran war. They have 45 days of fuel left.”

Energy Secretary Sharon Garin provided a detailed breakdown of current reserves. “Gasoline for 53 days, diesel for 46 days, jet fuel for 39 days, and LPG for just 24 days,” Garin stated. The 45-day figure represents the average across all petroleum products. These numbers have pushed the government toward emergency measures.

Fuel Prices Surge as Government Acts

Fuel prices in the Philippines have nearly tripled since the war began on February 28. Diesel, widely used across the country, has surged to nearly 130 pesos per liter.

Kerosene, a cooking fuel for lower-income households, has climbed to 145 pesos. Gasoline has now exceeded 90 pesos per liter, more than double pre-war levels.

In response, the government has introduced several conservation measures. Civil servants are now on a four-day workweek to cut fuel use.

Ferry services have also been reduced, and transport workers are receiving 5,000-peso subsidies. The country is also shifting temporarily to coal-fired power plants to reduce reliance on liquefied natural gas.

Labor unions, however, are not satisfied. The KMU, the Philippines’ largest labor coalition, described the executive order as an “admission” that the government failed to act sooner.

The group also warned that provisions in the order could be used to “restrict strikes and protests.” Transport workers are planning a two-day strike on Thursday and Friday in direct response to the crisis.