Dirty Fuel, Temporary Fix: PH Allows Euro-II for Older Vehicles Amid Oil Shock

Department of Energy fuel policy

Dirty Fuel, Temporary Fix: PH Allows Euro-II for Older Vehicles Amid Oil Shock
Photo: Wikimedia Commons

The Philippines has temporarily allowed the limited use of cheaper but dirtier Euro-II fuel as the government tries to protect supply during the ongoing Middle East crisis. The emergency adjustment is being positioned as a short-term workaround, not a full rollback of the country’s cleaner fuel standard.

Based on the Department of Energy statement cited by Reuters, the policy will cover only specific users: vehicles from model year 2015 and earlier, traditional jeepneys, power plants and generators, plus the marine and shipping sectors. The DOE said the goal is to keep fuel available and accessible for sectors that may be hit hardest by supply disruptions and rising prices.

The department also ordered oil firms to keep Euro-II products separated from Euro-IV fuel in storage, transport, and retail systems. That matters because the Philippines shifted to cleaner Euro-IV fuel in 2016, and the older Euro-II standard contains far more sulfur, making it cheaper but also more polluting.

Pressure has been building after diesel prices surged and thousands of jeepney drivers staged protests across the country. To cushion the blow, the government has also shortened the work week in some areas, offered fuel subsidies, and secured emergency powers that could allow the suspension or reduction of fuel taxes if needed.

President Ferdinand Marcos Jr. also said the government is discussing possible fuel supply arrangements with India, China, Japan, South Korea, Thailand, and Brunei. Reuters reported that the Philippines, which relies heavily on Middle Eastern oil, is also set to import Russian oil this month for the first time in five years — a sign na seryoso ang supply squeeze.

Source: Reuters — https://www.reuters.com/business/energy/philippines-allows-temporary-use-dirtier-fuel-amid-middle-east-crisis-2026-03-22/

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