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President Ferdinand Marcos, Jr. signed an Executive Order declaring a state of national energy emergency due to the Middle East conflict involving the US, Israel, and Iran
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The order is effective for one year unless lifted or extended
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The closure of the Strait of Hormuz could significantly disrupt oil supplies and drive up global prices
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The Philippines is a net oil importer, making it highly vulnerable to global supply disruptions
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Government adopts UPLIFT (Unified Package for Livelihoods, Industry, Food, and Transport) as the whole-of-government response framework
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DOE authorized to implement fuel allocation, conservation, and anti-hoarding measures
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Transport, agriculture, and social sectors to receive targeted support
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Fuel subsidies, fare relief, and “Libreng Sakay” expansion included
President Ferdinand Marcos Jr. has signed Executive Order 110 declaring a state of national energy emergency due to the Middle East conflict involving the US, Israel, and Iran, triggering a whole-of-government response as the closure of the Strait of Hormuz and escalating Middle East hostilities threaten to choke off petroleum supplies to one of Southeast Asia’s most import-dependent economies.
The declaration, issued pursuant to Section 25 of Republic Act 7638 or the Department of Energy Act of 1992, was anchored on a determination by the energy secretary that hostilities among the United States, Israel, and Iran have severely destabilized a region that plays a critical role in global oil production and transportation, sending international oil prices sharply higher and casting uncertainty over the stability of the Philippines’ domestic energy supply.
Central to the EO is the closure of the Strait of Hormuz, a chokepoint through which a significant portion of the world’s seaborne oil transits. Its disruption, the order states, is constraining global fuel supply and directly threatening the adequacy of energy available to the Philippine market. As a net importer of petroleum products, the Philippines has limited buffer against external supply shocks.
To coordinate the national response, Marcos adopted the Unified Package for Livelihoods, Industry, Food, and Transport — or UPLIFT — as the government’s primary framework.
The UPLIFT Committee, chaired by the President himself, draws together the secretaries of the Department of Energy (DOE), Department of Transportation (DOTr), Department of Social Welfare and Development (DSWD), Department of Agriculture (DA), Department of Finance (DOF), Department of Economy Planning and Development (DEPDev), and Department of Budget and Management (DBM). DEPDev will serve as Secretariat.
The DOE is directed to implement fuel and energy optimization plans, enforce conservation measures, and move aggressively against hoarding, profiteering, and supply manipulation. The Philippine National Oil Company (PNOC) and PNOC Exploration Corporation are authorized to procure fuel directly and, when certified necessary by the energy secretary, to make advance payments exceeding the standard 15% contract ceiling.
The DOTr is tasked with a broad slate of commuter relief measures: fuel subsidy allocations, fare subsidies, expansion of the “Libreng Sakay” free ride program, extended operating hours for the Light Rail Transit and Metro Rail Transit systems, and a review of possible reductions, suspensions, or deferrals of toll charges, aviation charges, landing fees, and similar assessments.
The DSWD is directed to fast-track releases under the Assistance to Individuals in Crisis Situations (AICS) program and deliver livelihood support to transport workers, farmers, fisherfolk, displaced workers, repatriated overseas Filipino workers (OFWs), and other vulnerable groups through the sustainable livelihood program.
The DA must monitor food and agricultural input supply, maintain availability at the lowest possible cost, and release funds under the Presidential Assistance for Farmers and Fisherfolk program and the Quick Response Fund.
The Department of Migrant Workers is directed to activate monitoring, rescue, evacuation, and repatriation mechanisms for distressed OFWs abroad, and to expedite releases from the AKSYON Fund for qualified OFWs and their dependents.
The Department of Trade and Industry should monitor and act against excessive or unreasonable price increases on basic necessities and prime commodities, while also roll out support programs for micro, small, and medium enterprises.
Local government units are encouraged to complement national directives within their jurisdictions and to allocate the necessary funding and personnel to help cushion communities from the impact of the global fuel disruption.
Amid these developments, the Philippine Exporters Confederation, Inc. (PHILEXPORT) welcomed the declaration, describing it as a proactive step to ensure energy security and cushion the economy from external shocks.
“We recognize that the government’s proactive stance aims to ensure energy security, stabilize fuel prices, and safeguard the economy from further external shocks,” PHILEXPORT said.
However, the group warned that exporters are already facing immediate and significant challenges as fuel costs rise.
“Rising fuel prices directly translate to higher logistics, shipping, and production costs, potentially eroding the competitiveness of Philippine exports in an already challenging global market,” it said.
PHILEXPORT added that disruptions in global supply chains and freight routes are compounding pressures, particularly for time-sensitive and energy-intensive export sectors.
In response, the group urged the government to complement its energy emergency measures with targeted support for exporters, including:
- temporary relief on fuel and logistics costs, such as the waiver of government shares in port and toll fees, as well as the swift rollout of fuel subsidy programs for critical industries
- accelerated trade facilitation and digitalization efforts to reduce non-energy costs
- closer coordination with logistics providers to prevent excessive or speculative rate increases.
Meanwhile, PHILEXPORT urged exporters to implement energy-saving measures, streamline supply chains, and seek new markets and transportation options to reduce risks.
“PHILEXPORT stands ready to work closely with government and industry stakeholders to ensure that the Philippines not only weathers this energy crisis but emerges more resilient, competitive, and sustainable in the global trading environment,” the group said.
The energy emergency will remain in effect for one year unless lifted or extended by the President.
