BUSINESS
Advocates Philippines
Ty Says New LPG Supply Seen To Ease Tight Market
Screengrab from Cong Arnel Ty
Regasco president and LPGMA founder Arnel Ty said efforts are underway to stabilize the country’s LPG supply as the government and private sector move to address ongoing tightness in the market.
Ty explained that the situation is not a full-blown shortage but a “tightness,” where supply—especially for independent refillers—is more limited compared to previous months. This has prompted industry players to coordinate closely with the Department of Energy to monitor inventory levels and identify solutions.
Based on discussions during recent meetings, LPG companies currently maintain around 30 to 40 days’ worth of inventory, including additional volumes being sourced from the international spot market. Existing supply and incoming shipments are expected to last until the first week of May, but companies have yet to guarantee availability beyond that period due to the unpredictable nature of global LPG trading.
To address the expected gap, the Department of Energy has secured supply commitments from non-traditional sources. Ty confirmed that a total of 66 million kilos of LPG from the United States, Canada, and Mexico is scheduled for delivery to the Philippines between May 15 and June 1, 2026. The development was relayed by the energy department during recent discussions with industry players.
The incoming shipments will be stored in the facilities of four LPG companies, which are expected to accommodate and manage the additional supply once it arrives.
The move comes as ongoing disruptions in the Middle East continue to affect traditional supply routes, prompting the government to seek alternative markets, particularly in North America. Industry players have expressed readiness to receive the shipments, noting that existing terminal capacities—mostly located in Luzon—can handle the volume.
The additional supply is expected to extend the country’s LPG inventory by around 20 to 30 days, helping ease pressure on the market and improve allocation for independent refillers, who have been among the most affected by the tight supply conditions.
The initiative forms part of a broader effort to normalize LPG distribution, which has been strained by global supply challenges and geopolitical tensions. Authorities aim to restore more stable and predictable supply levels similar to those seen before the Middle East conflict.
Ty said the coordinated efforts between the government and private sector are focused on ensuring steady supply and reducing uncertainty in the coming months, as the country works to secure enough LPG to meet growing demand.
Ty explained that the situation is not a full-blown shortage but a “tightness,” where supply—especially for independent refillers—is more limited compared to previous months. This has prompted industry players to coordinate closely with the Department of Energy to monitor inventory levels and identify solutions.
Based on discussions during recent meetings, LPG companies currently maintain around 30 to 40 days’ worth of inventory, including additional volumes being sourced from the international spot market. Existing supply and incoming shipments are expected to last until the first week of May, but companies have yet to guarantee availability beyond that period due to the unpredictable nature of global LPG trading.
To address the expected gap, the Department of Energy has secured supply commitments from non-traditional sources. Ty confirmed that a total of 66 million kilos of LPG from the United States, Canada, and Mexico is scheduled for delivery to the Philippines between May 15 and June 1, 2026. The development was relayed by the energy department during recent discussions with industry players.
The incoming shipments will be stored in the facilities of four LPG companies, which are expected to accommodate and manage the additional supply once it arrives.
The move comes as ongoing disruptions in the Middle East continue to affect traditional supply routes, prompting the government to seek alternative markets, particularly in North America. Industry players have expressed readiness to receive the shipments, noting that existing terminal capacities—mostly located in Luzon—can handle the volume.
The additional supply is expected to extend the country’s LPG inventory by around 20 to 30 days, helping ease pressure on the market and improve allocation for independent refillers, who have been among the most affected by the tight supply conditions.
The initiative forms part of a broader effort to normalize LPG distribution, which has been strained by global supply challenges and geopolitical tensions. Authorities aim to restore more stable and predictable supply levels similar to those seen before the Middle East conflict.
Ty said the coordinated efforts between the government and private sector are focused on ensuring steady supply and reducing uncertainty in the coming months, as the country works to secure enough LPG to meet growing demand.
Apr 1, 2026
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