MANILA, Philippines — Senator Risa Hontiveros‑Quimbo has called on lawmakers and regulators to revisit the country’s Oil Deregulation Law, saying recent fluctuations in global oil prices have amplified fuel cost spikes that burden consumers and businesses alike.
Quimbo said the law, enacted in 1998 to encourage competition and allow market‑driven pricing, may need updates or safeguards to protect Filipinos from sudden, steep increases in petroleum prices tied to external shocks such as geopolitical tensions and supply disruptions. She emphasized that while competition remains important, there should be mechanisms to shield vulnerable sectors and mitigate inflationary pressure during turbulent periods.
The senator highlighted that higher oil prices have a ripple effect throughout the economy, contributing to increased transportation costs, higher prices for basic goods, and added stress on household budgets. Quimbo said vulnerable groups — including low‑income commuters, small businesses, farmers, and transport drivers — are often hit hardest when fuel prices surge.
Quimbo’s proposal includes exploring price stabilization mechanisms, improved monitoring of industry compliance, and potential adjustments to the existing legal framework to ensure a balance between market forces and consumer protection. She also stressed the need for greater transparency in fuel pricing and closer coordination among government agencies tasked with overseeing the energy sector.
Supporters of revisiting the law say any changes should be carefully crafted to avoid unintended consequences such as reduced supply or investment while still ensuring that ordinary Filipinos are not left overly exposed to volatile global energy markets.
The call for revisiting oil deregulation comes amid ongoing debates about how best to manage the Philippine economy’s exposure to external price shocks and inflationary pressures.