Middle East war drives fuel prices up: Fuel subsidies at the ready

CEBU CITY, PHILIPPINES — President Ferdinand R. Marcos Jr. on Tuesday said the government is prepared to roll out targeted fuel subsidies should Dubai crude prices breach the $80-per-barrel threshold, as authorities also intensify efforts to safeguard Filipinos in the Middle East amid escalating tensions.

Speaking during a press briefing at Malacañan Palace on March 3, 2026, Marcos said assistance will be extended to the transport, agriculture, and fisheries sectors under the Pantawid Pasada Program and other support measures to cushion the impact of rising global oil prices on vulnerable industries.

The President stressed that once Dubai crude exceeds $80 per barrel, the government stands ready to activate fuel subsidies aimed at easing the burden on public utility drivers, farmers, and fisherfolk who are directly affected by higher fuel costs.

Marcos also underscored that the government’s “foremost priority is the safety of our people” as missile strikes, drone attacks, and retaliatory actions continue to intensify in several parts of the Middle East.

He assured the public that Philippine authorities are closely monitoring developments and are prepared to assist Filipinos who wish to return home.

According to the President, a total of 1,416 Filipino nationals have requested repatriation. Of this number, 10 are from Iran, 297 from Israel, 22 from Jordan, 231 from Bahrain, 586 from Dubai, and 270 from Abu Dhabi. The figure includes those stranded due to airport closures as well as individuals seeking to leave identified danger zones.

“Right now, safety first for our people,” Marcos emphasized, noting that several airports remain closed and certain airspaces have been declared no-fly zones, making it unsafe to deploy civilian aircraft into active combat areas.

The President said all Philippine embassies, along with labor and defense attachés, are on 24/7 alert and remain in constant contact with Filipino communities across affected areas. Filipinos in high-risk locations, particularly in Israel where attacks are ongoing, have been advised to shelter in place, remain indoors, and follow the guidance of local authorities.

Hotlines of the Department of Foreign Affairs and the Department of Migrant Workers have also been activated to provide timely updates and assistance to families in the Philippines.

While prioritizing the safety of overseas Filipino workers, the administration is likewise monitoring the potential economic impact of the conflict, particularly on remittances and fuel prices.

The President noted that an estimated 80 to 85 percent of workers in the Gulf region continue to report to work, either on-site or through work-from-home arrangements.

“We are not speculating,” Marcos said, adding that the government has prepared both best-case and worst-case scenarios in response to the evolving situation.

Meanwhile, Vice President Sara Z. Duterte appealed for the safety and convenience of all Filipinos amid rising fuel prices and environmental concerns.

Duterte urged the public to reconsider organizing motorcades and vehicle caravans or parades as forms of protest, citing their contribution to higher fuel consumption, worsening air and noise pollution, and increased traffic congestion.

“Due to the recent rise in fuel prices and the serious concerns about air and noise pollution, I am appealing to people to reconsider organizing motorcades and vehicle caravans or parades as a form of protest,” Duterte said in a statement.

While acknowledging the public’s desire to gather and express criticism against the administration or show support for former President Rodrigo Duterte, the Vice President emphasized the need to consider the broader impact of such activities on communities and the environment.

She encouraged exploring alternative ways to assemble that are less disruptive and more sustainable, noting that the country also faces pressing issues such as the loss of jobs among overseas Filipino workers returning home and the sharp increase in food and other essential commodity prices.

Duterte likewise called on all local government units to permanently ban motorcades and vehicle caravans or parades, whether for celebrations, festivals, or political activities.

“Let us all do our part to keep our roads and our country safer, cleaner, and more efficient for everyone,” she added.

Capitol tightens fuel consumption

With global oil prices expected to rise amid ongoing tensions in the Middle East, the Cebu Provincial Government has begun tightening its fuel consumption while assuring the public that the province’s oil supply remains stable for now.

Following the issuance of Executive Order No. 15 by Governor Pamela Baricuatro, Assistant Provincial Administrator Aldwin Empaces said Cebu is “safe” in terms of supply for the next one to two months, but preparations are already underway should the crisis drag on.

In an interview, Empaces said current developments show that oil supply remains steady. “Based on the current development, the supply is so far okay,” Empaces said.

He, however, acknowledged that an increase in oil prices is inevitable due to global market movements. “Ang clear lang jud is mosaka ang oil prices pero naa nay intervention ang DND (Department on National Defense),” he said.

Empaces explained that Cebu has enough oil stock to last for about two months, as fuel purchases are made in advance. “The supply is coming in kay naka-stock pud ta sa oil. Paliton man na ahead of time, so good for two months pa man,” he said.

He warned that the real impact may be felt by the third month if tensions persist. For now, there is no price freeze in place. “Wala pay price freeze kay the market is okay,” Empaces said.

Still, he admitted that continued price hikes could create serious economic problems. “If mag sige na nig saka ang prices, naa jud problema. We don’t want that. The government must prepare,” he said.

Empaces said the province is crafting a contingency plan covering the next two months. “We’re making a contingency on the next two months. After that, we’ll see the progress,” he added, expressing hope that the conflict will end soon to avoid hampering economic stability. 

Fuel-saving measures in full swing

On the ground, Capitol offices have begun implementing fuel-saving measures in line with Executive Order No. 15.

Capitol’s Executive Assistant James Canoy said the provincial government is being proactive to ensure services will not be paralyzed despite the international situation. “Dako man kaayo nig epekto sa tibook kalibutan tungod kay kitang tanan nag-consume man og lana,” he said.

Canoy said the province is limiting unnecessary official travel and consolidating trips whenever possible. Under the order, departments are encouraged to reduce field activities, combine official trips, adopt virtual meetings when feasible, strictly monitor fuel consumption, and optimize vehicle deployment and routing.

All departments are required to submit their Fuel Conservation Plans to the Office of the Governor within five working days from the issuance of the order.

Canoy clarified that essential services are exempted from the fuel conservation measures. Ambulances, medical emergency transport, disaster response operations, emergency social welfare services, and law enforcement and public safety operations will continue without interruption.

Data from the Provincial General Services Office (PGSO) show that, in 2025, total diesel and gasoline consumption of the provincial government reached P20.4 million. Average monthly fuel expenses ranged from P1.2 million to P1.4 million.

Spending rose to about P2 million per month in October, November, and December last year due to disaster-related and relief operations that required extensive vehicle use.

The P20.4 million covers all government-owned vehicles, including those assigned to the 16 district and provincial hospitals, disaster response units, legislative and executive offices, and various departments. Each Capitol vehicle is issued a fleet card with an average monthly fuel allocation of 200 to 250 liters.

Canoy appealed to department heads to maximize each trip. “Kung mahimo nga naay lima ka lakaw nga duol ra, usahon lang og byahe. Dili nato tagsa-tagsaon para makalimit sa konsumo sa gasolina,” he said.

He noted that some offices such as Accounting, Human Resources, Budget, and the Treasurer’s Office are largely office-based and can reduce travel, while others engaged in field work will continue to require fuel support.

Regular price monitoring

Beyond fuel, the province is also keeping a close watch on the prices of basic goods and commodities.

Empaces said the provincial government has coordinated with the Department of Trade and Industry Region 7 to establish a communication team for province-wide price monitoring.

The move aims to immediately detect unusual price movements and prevent overpricing amid global uncertainty.

Capitol readies aid for Cebuano OFWs

The Cebu Provincial Government is extending its assistance and contingency plans for the possible repatriation of Cebuano Overseas Filipino Workers (OFWs) affected by the conflict in the Middle East.

The Provincial Social Welfare and Development Office (PSWDO) and the Provincial Tourism Office (PTO) will set up a Provincial OFW Assistance and Repatriation Desk in coordination with the Overseas Workers Welfare Administration (OWWA).

They will compile a list of affected Cebuano OFWs, provide emergency financial and psychosocial support, and create reintegration and livelihood programs.

PSWDO OIC Marirose D. Lopez stated that their office is ready to provide financial assistance, which includes coverage for hospital bills and burial expenses through the Assistance for Individual Crisis Situation (AICS) program.

However, the specific amount of aid that will be provided has not yet been determined. “As of now, I don’t have the amount, it’s really for the Governor’s discretion of how much will be given to the returning OFWs,” she said.

At present, there are no reported repatriations from the Middle East referred by the OWWA to the PSWDO. For the time being, the former is reaching out to the latter to retrieve lists of OFWs from the affected areas.

Lopez assured the public that once the list is secured, the Public Social Welfare and Development Office (PSWDO) will send it to the local government unit (LGU) social workers. This will enable them to locate and track the Overseas Filipino Workers (OFWs) so they can further assess what specific assistance they can provide.

Additionally, it is essential to establish a Provincial OFW Assistance and Repatriation Desk to coordinate the efforts of the relevant offices effectively. However, Lopez highlighted that the PSWDO plays a secondary role to the OWWA in directly facilitating repatriation. For instance, they assisted in the return of an individual to Cebu.

Aside from financial assistance, Lopez stressed the vital role of psychosocial interventions. Trained and professional social workers will conduct these sessions to improve the overall mental well-being of the affected individuals.

Livelihood and reintegration programs will also be prioritized for repatriates to help them recover, with referrals facilitated through the Department of Social Welfare and Development (DSWD) Regional Office and the Department of Labor and Employment (DOLE).

Lopez highlighted the never-ending support and the rapid action of Gov. Baricuatro during the time of crisis, stating, “Thankful ‘mi ni Gov kay every time nga naa’y mga cases nga need og mga provision, mu-support jud na siya. Very supportive gyud. Time nga dalion nato ang pag-process, maka-facilitate ra gyud ‘ta through the support of our governor.”

Cebu City’s peso to monitor Cebuano OFWs

Cebu City Mayor Nestor Archival has directed the Public Employment Service Office (PESO) to monitor the situation of Cebuano overseas workers in Gulf countries, as the city government establishes a Local Assistance Help Desk to support affected families.

The Help Desk is tasked to provide verified updates, guidance, and referrals to national agencies, ensuring that constituents receive timely assistance during the ongoing conflict. It is also a lifeline for families seeking verified information and guidance.  “Let us continue to pray for the safety of all affected and remain united as one Cebu City,” said the mayor.

Archival stressed that the city is working closely with national authorities to safeguard its constituents abroad. “We assure our constituents that the City Government of Cebu is closely coordinating with concerned national agencies to ensure the safety and welfare of our Overseas Filipino Workers,” he said.

Affected families living in the city of Cebu may reach out through dedicated contact numbers: 0917-886-3963 and 0945-281-3405.

Meanwhile, PBBM urged Filipinos in conflict-affected areas of the Middle East, particularly in Israel, to remain indoors and stay in secure locations. “Ang advice na binibigay natin sa ating mga kababayan ay maghanap kayo ng safe place… stay indoors and stay away from areas of danger,” he told the media yesterday.

He acknowledged that the situation remains fluid but assured that the government is closely monitoring developments, with safety as the top priority. He identified Israel as the most dangerous area due to ongoing missile, drone, and air attacks, but noted that bomb shelter systems are in place.

The Philippine government has coordinated with hotels near shelters to ensure Filipinos can quickly take cover when sirens sound.

As of Tuesday morning, 1,416 Filipinos have requested repatriation, including 586 from Dubai, 297 from Israel, 270 from Abu Dhabi, 231 from Bahrain, 22 from Jordan, and 10 from Iran.

Repatriation flights remain on hold due to airport closures and no-fly zones, though contingency measures are being prepared should a safe evacuation window open. “We already are collecting assets, mga bus, mga sasakyan … ready na tayo para mailabas na kaagad sila,” the President said.

The Department of Foreign Affairs confirmed that Philippine embassies in affected countries have activated emergency hotlines and are coordinating with host governments.

The Overseas Workers Welfare Administration assured families that psychosocial and financial support will be extended, while the Department of Migrant Workers mobilized regional offices, including DMW-7 and OWWA-7 in Central Visayas, to monitor Cebuano OFWs and provide assistance.