BUSINESS
Advocates Philippines
DOE Warns Power Rates Could Rise Up To 16% Amid Global Fuel Price Surge
FILE
Filipino consumers could see higher electricity bills in the coming months as global fuel prices continue to climb.
Speaking during a press briefing in Taguig City, Sharon S. Garin of the Department of Energy said simulations conducted by the agency show that electricity rates in the country could increase by as much as 16 percent if global fuel costs remain elevated.
The potential increase is tied to rising petroleum prices triggered by escalating tensions in the Middle East, which have begun affecting energy markets worldwide.
“Kung tataas ang presyo ng petrolyo, tataas din ang electricity rate,” Garin said, noting that higher fuel costs directly impact the price of electricity generation.
She explained that the Philippines relies heavily on imported fuels to produce electricity, making the country vulnerable to sudden shifts in global energy prices.
Garin also noted that the cost of liquefied natural gas (LNG)—a key fuel used by some power plants—has surged significantly in recent weeks, putting additional pressure on electricity generation costs across the region.
Despite the warning, the DOE said the government is studying ways to cushion the impact on consumers, including maximizing production from the Malampaya Deep Water Gas-to-Power Project, the country’s main domestic source of natural gas that supplies several power plants in Luzon.
Officials said the agency will continue monitoring developments in the Middle East while working with industry stakeholders to ensure stable power supply and manage potential price increases.
For a country that imports most of its fuel requirements, global energy disruptions can quickly translate into higher electricity and transportation costs for Filipino households and businesses.
Speaking during a press briefing in Taguig City, Sharon S. Garin of the Department of Energy said simulations conducted by the agency show that electricity rates in the country could increase by as much as 16 percent if global fuel costs remain elevated.
The potential increase is tied to rising petroleum prices triggered by escalating tensions in the Middle East, which have begun affecting energy markets worldwide.
“Kung tataas ang presyo ng petrolyo, tataas din ang electricity rate,” Garin said, noting that higher fuel costs directly impact the price of electricity generation.
She explained that the Philippines relies heavily on imported fuels to produce electricity, making the country vulnerable to sudden shifts in global energy prices.
Garin also noted that the cost of liquefied natural gas (LNG)—a key fuel used by some power plants—has surged significantly in recent weeks, putting additional pressure on electricity generation costs across the region.
Despite the warning, the DOE said the government is studying ways to cushion the impact on consumers, including maximizing production from the Malampaya Deep Water Gas-to-Power Project, the country’s main domestic source of natural gas that supplies several power plants in Luzon.
Officials said the agency will continue monitoring developments in the Middle East while working with industry stakeholders to ensure stable power supply and manage potential price increases.
For a country that imports most of its fuel requirements, global energy disruptions can quickly translate into higher electricity and transportation costs for Filipino households and businesses.
Mar 8, 2026
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