Govt to help ease oil supply woes due to pipeline closure

Government is studying measures to address potential oil supply problems following the Supreme Court’s order to stop operations of First Philippine Industrial Corp. (FPIC)’s pipeline. But deputy presidential spokeswoman Abigail Valte on Saturday also downplayed the possibility of a shortage in oil supply, saying only two of the several oil firms providing fuel to Metro Manila are affected by the pipe shutdown. “Let’s see what other measures will need to be undertaken. So far, the contingency measures have involved rotating gas stations where the affected firms will deliver their fuel," Valte said on government-run dzRB radio. On Friday, the Supreme Court cited potential environmental hazards in issuing its first “writ of kalikasan" and environmental protection order to stop operations of the FPIC pipeline. Geologists had found flaws in the pipeline that they linked to recent gas leaks in the Makati City area. Fuel firms Shell Philippines and Chevron use the FPIC pipeline to deliver fuel from their refineries in Batangas to their depots in Manila’s Pandacan district. Shell had warned the prolonged closure of the pipeline will affect its gas stations in Metro Manila. Valte, however, said the government already expressed willingness to give the affected firms the needed concessions, including exempting Shell and Chevron’s fuel-delivery trucks from a truck ban at certain hours of the day. Also, she pointed out the closure of the FPIC pipeline does not affect the operations of other fuel firms. “Only Shell and Chevron use the FPIC pipeline. I think permits for the lorries of Shell and Chevron have been extended by (the Metropolitan Manila Development Authority) to transport oil instead of using the pipeline," she said. — LBG, GMANews.TV