The Philippines is searching for ways to conserve energy in response to surging fuel costs, with public officials ordered to cut back on air conditioning usage and reduce travel.
All national government agencies, state universities and colleges, and local government branches have been told to reduce fuel consumption by at least 10% in response to the crisis in the Middle East.
Government offices have been told to adopt flexible work arrangements, and to set air conditioning units no lower than 24 degrees.
A presidential palace spokesperson said a four-day working week could also be considered, especially if the Middle East crisis worsened, local media reported.
A senator had earlier suggested switching to a four-day week, or the expansion of work from home arrangements to ease fuel demands. It has not yet been discussed by the cabinet, however.
The Philippines relies on imports for almost all its oil needs, and, like many regional countries, is especially vulnerable to global price rises. It is feared the conflict in the Middle East will put further pressure on inflation in the country, which reached a 13-month high in February of 2.4%.
Other south-east Asian countries are also introducing energy-saving measures. In Thailand, the defence ministry advised agencies under its control to cut back on the use of air conditioning, and to use video conferencing to avoid unnecessary travel. Managers should also consider allowing personnel to work from home, depending on their duties, it said.
In neighbouring Myanmar, military rulers have banned half of private vehicles from the roads, announcing that from this weekend even-numbered plates will be permitted to drive only on even dates and odd-numbered plates only on odd dates.
“Due to current global political conditions and military conflicts in the Middle East, there are ongoing blockades and disruptions along the maritime trade routes used by oil tankers,” the junta said. It is unclear how long the order will last. The junta has lost control of vast areas of the country, but retains cities such as Yangon and Mandalay.
Over the past week, queues have been reported at petrol stations across Thailand, Laos and Myanmar.
Asia is vulnerable to sustained oil price shocks, due to its reliance on imported energy, Deepali Bhargava, the regional head of research for Asia-Pacific at ING bank, wrote in an analysis this week.
“Apart from Malaysia and Australia, every major economy runs a sustained deficit in oil and gas trade, leaving them exposed when global prices surge,” said Bhargava.
The Philippines is at greater risk of inflation, not only because it depends on the Gulf for 90% of its oil requirements, but also because its fuel subsidies are far more limited than in countries such as India and Thailand, added Bhargava.
The Philippine president, Ferdinand Marcos, told a press briefing this week that the government was considering fuel subsidies for the transport sector, farmers and fishers.
“We have given instruction to all government offices to find ways to save on energy,” Marcos said. He also appealed to the public to adopt energy-saving practices, including carpooling, minimising unnecessary travel, and maximising the use of public transportation.
Business groups have urged caution when considering the idea, with the Philippine Chamber of Commerce and Industry warning that sectors such as manufacturing may not be able to adapt to such patterns, and that industry needed to remain efficient and competitive.
