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The News Ink™ | World News | Sports | Technology | Business > Blog > Business & Finance > Philippines Declares Energy Emergency as Iran Conflict Drives Fuel Prices Higher
Business & Finance

Philippines Declares Energy Emergency as Iran Conflict Drives Fuel Prices Higher

Dowry Lane
Last updated: March 25, 2026 9:31 am
Dowry Lane
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Fuel pumps in the Philippines as government declares energy emergency
The Philippines declares a national energy emergency to stabilize fuel supplies amid the Iran conflict
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The Philippines has declared a national energy emergency, becoming the first country to take such action in response to the war in Iran. President Ferdinand Marcos Jr signed an executive order to protect the country’s energy security, citing the “imminent danger” to fuel availability and stability.

The US-Israel conflict with Iran, combined with the effective closure of the Strait of Hormuz—a crucial shipping route—has disrupted global energy markets, driving up oil prices and creating shortages. The Philippines relies on the Gulf for 98% of its oil, and the price of diesel and petrol has more than doubled since the conflict began on 28 February.

Under the emergency order, the government can impose measures to stabilize energy supplies and protect the economy. A special committee will oversee the distribution of fuel, food, medicines, and other essential goods. The government can also purchase fuel directly to ensure adequate supply.

President Marcos urged Filipinos not to panic, saying the government is securing additional sources of fuel. He expressed confidence that supplies will remain sufficient before the current 45-day stock runs out. “We will have a flow of oil—not just one or two deliveries, but a continuous flow of oil-related products,” he said.

The declaration will remain in effect for one year unless extended or lifted by the president. It follows calls from senators highlighting the “emergency-level” hardship families face due to soaring fuel prices. Diesel and petrol prices continue to exceed double their pre-war levels.

Some critics, including the labor coalition Kilusang Mayo Uno (KMU), have condemned the declaration, calling it an admission that the government failed to address the crisis. They also raised concerns about clauses in the order that could restrict strikes or other economic disruptions, potentially limiting workers’ rights.

Meanwhile, business leaders have welcomed the move. Tycoon Manuel V. Pangilinan, who chairs major utilities companies, said rising energy costs are straining operations and supported giving the government every option to stabilize the economy during this difficult period.

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