LEADERS of the Association of Southeast Asian Nations (ASEAN) discussed the development of a regional fuel reserve mechanism to strengthen energy security and protect Member States from supply disruptions during times of crisis.
This was announced by President Ferdinand R. Marcos Jr. during a press conference at the International Media Center in Cebu after leading the 48th ASEAN Summit and Related Meetings on Friday.
According to the Philippine leader, the proposed mechanism is similar to ASEAN’s emergency rice reserve system, which enables member-countries to assist one another during food shortages and emergencies.
“The one thing that we talked about that concerned fuel supply was a fuel reserve,” President Marcos said. “To put together a fuel reserve is something like the emergency rice reserve.” The Philippine leader said ASEAN leaders discussed exploring the development of reserves for various oil and petroleum products.
President Marcos noted that ASEAN Member States face varying energy supply situations, with some countries having surpluses of certain fuel products while others experience shortages.
“Because the situation right now is very different from each country. Some countries have a surplus of a certain kind of fuel, other people have a shortage, and we’re trying to balance that out,” he said.
The proposed reserve system, according to the President, would serve as an emergency supply buffer in the event of wars, geopolitical tensions, or disruptions in major trade routes such as the Strait of Hormuz.
“But beyond that is the reserve, so that we have something in reserve,” President Marcos said. “And when something like this happens, a war happens, a trade route like the Strait of Hormuz is closed, and with all the attendant effects, we have somewhere to immediately run to for emergency supply.”
The President clarified that while ASEAN members will continue to make individual arrangements to secure their own fuel supply, the regional grouping is working toward a cooperative mechanism that would allow Member States to access shared reserves when needed.
“So we are trying to even out those differences between countries,” President Marcos said. “We are making our own arrangements, but at the same time we are coming together and developing the idea that we will have a fuel reserve, all the kinds of fuels, all the different kinds of fuel: crude oil, all the way to jet fuel, all the way to the most refined fuel.”
The President expressed hope that such disruptions would not happen again, but emphasized the importance of preparedness through regional cooperation.
“And should such a thing happen again, then there is a reserve that we can all avail of,” he said. |
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