ENERGY GROUP ADVOCATES DOMESTIC GAS TO CUT ELECTRICITY EXPENSES

The Petroleum Association of the Philippines (PAP) is urging power companies to prioritize the use of domestic natural gas to stabilize electricity rates and reduce reliance on expensive imported fuels.

PAP Chairperson Donnabel Kuizon Cruz emphasized that local resources, such as the Malampaya gas-to-power project, remain underutilized despite offering electricity at roughly ₱4.80 per kilowatt-hour—less than half the cost of imported LNG.

The group advocates fully implementing the Philippine Natural Gas Industry Development Act, which includes tax incentives for indigenous gas and the electricity it generates.

PAP also framed the shift to local gas as a matter of national security amid global energy uncertainties, citing tensions in the Middle East.

While the Department of Energy continues to manage the country’s fuel mix and award new petroleum contracts, the association stressed that the immediate priority should be using domestic gas to reduce power costs.

Source: PhilNews24 | March 15, 2026