Gov’t to give fuel subsidy to transport, agri sectors amid Middle East conflict

The government is working to mitigate the impact of the armed conflict in the Middle East on price hikes by providing subsidies for public transport operators and farmers and fisherfolk, and possibly rolling out free bus rides.

According to the Department of Finance (DOF), the national government is working with agencies to ensure that the everyday transport and logistics needs are supported amid the volatile global markets.

In an emailed statement on Thursday, DOF secretary Frederick Go said they “will continue coordinating with relevant agencies to ensure a measured, responsible, and timely response to evolving global events.”

“The government is closely monitoring global oil prices and the duration of the ongoing conflict, so we can respond accordingly. We remain vigilant, prepared, and committed to protecting the welfare of all Filipinos,” Go said.

The DOF said the Department of Transportation (DOTr) is working with the Land Transportation Franchising and Regulatory Board (LTFRB) to give out fuel subsidies for public utility vehicle (PUV) operators to ease the impact of rising prices and keep fares affordable.

The DOF did not provide figures.

On Wednesday, the Department of Energy (DOE) said pump prices could be hiked further due to global developments such as the closure of the Strait of Hormuz, a key global shipping corridor.

The agency said it will appeal to firms to stagger the implementation of hikes starting next week.

Pump prices were already increased by P1.90 per liter for gasoline, P1.20 per liter for diesel, and P1.50 per liter for kerosene as of Tuesday, March 3, 2026.

The DOF said the Department of Agriculture (DA) will also provide fuel subsidies to farmers and fisherfolk to keep food prices stable.

“Another initiative being considered is free bus rides. The Metropolitan Manila Development Authority (MMDA), in partnership with private companies, will launch the Electric Love Bus program to offer free rides on select Metro Manila routes by late April or early May,” it said.

Earlier, President Ferdinand “Bongbong” Marcos Jr. said he is considering the temporary reduction or suspension of excise taxes on fuel to cushion the impact of rising prices.

The DOF has yet to release estimates on the possible foregone revenues.

Tensions in the Middle East heightened over the weekend, as the United States and Israel’s airstrikes killed Iranian Supreme Leader Ayatollah Ali Khamenei, which American President Donald Trump celebrated. The death was later confirmed by Iranian state media.

Earlier this week, Trump said combat operations in Iran would continue until all objectives are achieved, as he confirmed that three US service members were killed and there would likely be more casualties. — JMA, GMA Integrated News