Fuel price hikes can be attributed to international conflicts —DOE exec

The recent price hikes in fuel products are caused by affairs of major oil exporting nations, an official of the Department of Energy (DOE) said on Wednesday.

In an interview on News To Go, DOE's Oil Industry Managing Bureau Assistant Director Rodela Romero said the Philippines' domestic prices are affected by conflicts plaguing Iran and Venezuela, which are members of the Organization of Petroleum Exporting Countries (OPEC).

"Basically talaga tayo, oil importer tayo. Umaangkat tayo ng langis sa iba't ibang lugar... Lahat ng pangangailangan natin imported. So whatever 'yung development sa international market, for instance 'yung mga geopolitical conflicts sa Middle East, will affect our domestic prices," she said.

Romero added that the rising tension between the United States and Iran, as well as the economic crisis in Venezuela, may be affecting supply disruption.

"Sa ngayon 'di ba nagbabala ulit 'yung United States 'yung sanction niya sa Iran because of the nuclear deal? So isa 'yun. Another factor is 'yung mga economic crisis na nangyayari sa Venezuela. Venezuela is one of the top producers of the OPEC countries. Whatever na magkakaro'n for supply disruption, tataas po 'yung presyo," Romero said.

In the event that Iran and Venezuela stop exporting oil, Romero said other OPEC countries assured that they will complement the losses.

For its part, the DOE is ensuring the production of the country's alternative sources of energy to manage the prices.

"In the meantime, in the part of the Department of Energy, naniniguro kami na nagpro-produce ng alternative sources of energy, like the hybrid vehicle. We're continuing 'yung promotion ng energy efficiency and conservation. And recently nga po narinig niyo kay [DOE Secretary Alfonso Cusi] inatasan na niya 'yung PNOC (Philippine National Oil Company) Energy Corporation na mag-angkat ng langis. Para strategic inventory natin. At the same time makatulong sa pagbaba ng presyo," Romero said.

She also pointed out that the Philippines' renewable sources account for 30 percent of the country's energy, and that the Philippines is the second biggest producer of geothermal energy,.

"Sa ngayon ang renewable sources natin ay halos more than 30 percent. Ang geothermal malaki rin po. In fact, second producer ang Pilipinas sa geothermal energy. On top of these...may plano tayo mag-import ng liquified natural gas," she said.

Due to the climate in the Philippines, solar panels will also be able to generate more energy, Romero said.

She added that the country is able to produce wind energy as well.

"Aggressive naman 'yung promotion ng renewable energy sources. Maaraw tayo so definitely 'yung mga solar panels natin will generate more electricity," she said.

"Plus 'yung wind energy, that's part of the renewable energy sources," she added. —Jessica Bartolome/KG, GMA News