State-run Philippine National Oil Co. said over the weekend it put on hold its proposed strategic petroleum reserve and targeted fuel relief program initiatives pending a policy and financial review.
“Oil is a sunset industry and considering this, the SPR and TFRP shall be subjected to policy and financial viability review,” PNOC said in its yearend report.
It said the PNOC board followed the directive of the Department of Energy to suspend all activities relevant to the development and pursuance of the SPR and TFRP. SPR consists of large stockpiles of crude oil and petroleum products, stored in facilities located around the country—and possibly overseas—that are released during periods of local or international oil supply disruptions.
The SPR program was supposed to ensure the long-term stability and security of the oil supply even in times of geopolitical events.
The program is considered an extensive undertaking that aims to provide an oil stockpile, either crude oil, finished petroleum products, or both, equivalent to 90 days of the country’s domestic oil requirements. Alena Mae S. Flores
