MANILA: Philippine President Ferdinand Marcos Jr on Wednesday (April 15) called for the immediate activation and testing of the Asean Petroleum Security Agreement (APSA), saying it should be implemented while there is an oil crisis due to the Middle East conflict.
Speaking at the Asia Zero Emission Community Plus online summit hosted by Japan, Marcos said the closure of shipping routes has exposed the vulnerability of Asian economies that are heavily dependent on imported petroleum.
Marcos offered the Philippines as host or co-chair of the first APSA emergency simulation exercise, saying the mechanism exists and it should be tested now.
He also suggested a regional study on joint oil stockpiling.
Marcos said the Philippines is accelerating development of a domestic strategic petroleum reserve, a government-controlled physical buffer intended to absorb shocks when commercial markets fail.
He said he has asked fuel companies to have larger emergency reserves, including raising mandatory stocks of petroleum to 30 days from 15 days and of liquefied petroleum gas to 21 days from seven days.
He said the Philippines is pursuing a risk-calibrated oil procurement strategy to reduce heavy reliance on Middle East supply routes and choke points. - Reuters
