MANILA, Philippines—The Philippines will continue to enjoy adequate fuel supply as the government strictly enforces the so-called “minimum inventory requirement” for oil companies.
In a report, the Department of Energy said that as of end-2012, the inventory of crudes and petroleum products stood at 13.085 million barrels, slightly lower than the 47-day inventory level registered at the end of 2011.
Last December’s fuel supply is equivalent to 44 days worth of consumption, the agency said.
“The minimum inventory requirement (MIR) is still being enforced given the continuing risks faced by the downstream oil industry sector, such as geopolitical instability and supply delivery problems to areas affected by calamities,” the DOE said in its report.
Oil refiners Petron Corp. and Pilipinas Shell Petroleum Corp. are mandated to have “in-country” stock equivalent to 30 days worth of consumption; 15 days for importers of finished products or bulk marketers; and seven days for the liquefied petroleum gas (LPG) players.
The country’s total demand for finished petroleum products rose by 3.9 percent to 110.991 million barrels in 2012 from 106.857 million barrels in 2011, the DOE said. This translates to an average daily use of about 303,000 barrels, compared to the previous year’s level of 292,000 barrels.