By Ferdinandh B. Cabrera
MindaNews
COTABATO City — The Bangsamoro government is exploring the legality of directly importing fuel from neighboring Muslim countries and fast-tracking the exploration of local energy reserves amid uncertainties in fuel supply due to US-Israeli war against Iran.
Chief Minister Abdulraof Macacua of the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) has created an inter-agency task force to address the economic impact of rising oil prices, including a study on sourcing petroleum from Brunei, Malaysia, and Indonesia.
Lawyer John Anthony “Jet” Lim, Bangsamoro Transition Authority Floor Leader noted that the regional government is currently examining several mechanisms to make direct importation a reality.
“Among the primary frameworks being studied is the ASEAN Petroleum Security Agreement (APSA), a treaty to which the Philippines, Malaysia, and Brunei are all signatories,” he said.
Lim explained that because the Philippines is not an oil-producing country, fuel is classified as a “fully and freely importable” commodity, which provides a potential opening for regional initiatives.
He added that the regional government is also looking at the BIMP-EAGA (Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area) mechanism in coordination with the Mindanao Development Authority.
Exploring Liguasan Marsh
Beyond short-term importation, Macacua said it is high time the region tapped into its own natural wealth, specifically the untapped gas and oil reserves in the Liguasan Marsh.
The Liguasan Marsh, a vast wetland spanning the provinces of Maguindanao del Sur, Maguindanao del Norte, and North Cotabato, is believed to hold massive natural gas deposits.
Macacua noted that while the potential is high, technical hurdles have historically stalled progress.
“In my view, this should have happened a long time ago. It’s just that there are technicalities, and exploration is a very technical situation of a very high level. So we need to study it,” he said.
Reviving past partnerships
Macacua recalled previous exploration efforts involving the Malaysian national oil company Petronas, which had entered into agreements with the Philippine government in the past.
“You are aware that Petronas and the Philippines had this agreement before. In fact, they already had 17 drilling holes in Liguasan Marsh. The high potential is in Sultan sa Barongis; we have even visited that,” he said.
While the previous endeavors did not reach full commercial production, Macacua remains optimistic about reviving such activities. He noted that the Philippine government and Malaysia are still considering these types of collaborative energy projects to ensure long-term energy security for the region.
Dual-track strategy
Bangsamoro Cabinet Secretary Mohd Asnin Pendatun has detailed a dual-track strategy to address the fuel crisis, combining immediate “ayuda” (aid) for vulnerable sectors with a long-term push for regional energy independence.
In a statement during the press conference at the executive and legislative forum in Manila on March 23, Pendatun explained that the Bangsamoro government is looking at two clusters of solutions.
For the short term, the region is focusing on a targeted social amelioration program to provide help to the most affected sectors, specifically the transport sector and low-income households.
Pendatun said they are also exploring the possibility of providing fuel subsidies to the transport sector to soften the impact of rising costs, particularly with another price hike expected on Wednesday.
The official also emphasized the importance of monitoring the prices of essential commodities to prevent overpricing, and monitoring gas stations following reports of fuel hoarding and unauthorized limits on fuel top-ups.
“We’ve received reports that some gasoline stations are actually limiting what they can provide or top up in vehicles, which is not allowed,” Pendatun said, adding that some stations are holding back supply in anticipation of price increases.
He supported Macacua’s idea that the long-term solution lies in fast-tracking the exploration of natural gas and energy reserves within the region, such as those in Tawi-Tawi and the Liguasan Marsh.
