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Friday, July 04, 2008

 

RP needs cheaper fuels,
oil price watchdog says

 
As oil prices continue to escalate worldwide, so does the public’s need for measures to help them cope with the soaring price of electricity and fuel become ever more pressing.

Raul Conception, Consumer Oil Price Watch chairman, said the Philippines should develop alternative fuels as local oil companies have no control over the rising oil prices that have pushed pump prices up.

Alternative fuels, on the other hand, are relatively cheaper and cleaner than their fossil fuel-based counterparts. More importantly these fuels, such as compressed natural gas (CNG), can be sourced locally, unlike fuel at the pumps that are mostly imported abroad.

As the consumer advocate group’s head grimly put it, “the days are numbered for the transport sector” unless such cheaper fuels are made available.

Although the government leans towards the development of the country’s alternative and renewable energy sources as a solution to its oil woes, Energy Secretary Angelo Reyes said it may take some time to do this as necessary infrastructure have to be put in place first.

Reyes said it would take at least two years before a pipeline can be put up to bring the supply of natural gas at the Malampaya gas field to Metro Manila. At present, natural gas from the field, which is run by a consortium led by Shell Philippines Exploration BV, is mainly used to power three power plants.

Although it has put up a CNG refilling station and a number of companies have expressed interest to follow suit with their own facilities, Pilipinas Shell Petroleum Corp. Country Chairman Ed Chua said the “rollout of CNG will only be possible when the pipeline is in place.”

Despite this, Reyes said the Department of Energy is working on a “system of accreditation” that would assure the safety and reliability of technologies that will allow vehicles to run on other alternative fuels.

But as long-term solutions are still being ironed out, the public can do a number things that can help them survive the present energy crisis as outlined under an analysis conducted by economist Vic Abola of the First Metro Investment Corp. and University of Asia & the Pacific Capital Markets Research Center. The study shows energy costs can be reduced by at least a third by applying energy saving systems.

“For example, large firms [or a group of them; or with the local municipality] in rice-producing areas can generate their own electricity using rice hulls [a waste from milled palay],” it says.

On the other hand, households are urged to convert to their vehicles to liquefied petroleum gas (LPG), which saves on gas bill by a third, and use compact fluorescent light bulbs, which consume only less than a fourth of ordinary incandescent life and have a life eight times longer than the former.

Apart from car-pooling to reduce gas expenses, “middle- to high-income families should try to take more public transportation like the LRT-MRT, which is clean, reliable, and safe,” the report further exhorts.

Companies, on the other hand, are prodded to consider company-chartered shuttle buses or some other cost-effective transport for employees, and to convert company cars or vans to run on LPG.
-- Euan Paulo C. Añonuevo

  
 

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