PHL seeks Japan funding to build up fuel reserves

THE Department of Energy (DoE) said it is considering seeking support from the Japan Bank International Cooperation (JBIC) to build up the national fuel inventory and advance clean energy initiatives.

“JBIC is open to possible financial assistance for fuel stockpiling and reserve initiatives, as well as the clean energy program of the government,” Energy Undersecretary Mario C. Marasigan told BusinessWorld.

The DoE, represented by Mr. Marasigan, met with JBIC to discuss fuel stockpiling and storage initiatives, including potential short-term financial assistance to the state-run Philippine National Oil Co. (PNOC) and PNOC Exploration Corp.

The two parties are also in talks for long-term strategies to enable the country achieve its targeted 90 days of fuel reserves.

Asked how much financial assistance is being sought, Mr. Marasigan said “nothing concrete yet and still for study.”

As of May 22, the national fuel inventory was equivalent to 44.82 days’ demand, down from 45.33 days a week earlier.

Gasoline stocks were equivalent to 45.87 days’ demand, while the diesel inventory was at 41.07 days.

The kerosene inventory was at 138.93 days, jet fuel 66.41 days, and liquefied petroleum gas 41.49 days.

The government has moved to procure diesel from various countries through PNOC.

The four shipments of diesel delivered so far brings the emergency imports to 1.12 million barrels.

Oil prices remain elevated, with a fresh wave of hikes expected this week

According to the DoE, gasoline prices are expected to rise by about P1.60 per liter, diesel by P1.96 per liter, and kerosene by P1.45 per liter. — Sheldeen Joy Talavera