Electricity & Power Supply

Middle East crisis and summer heat create double energy shock

The Philippines faces a critical energy crisis as Middle East geopolitical tensions disrupt global oil supplies and push Brent crude above $100 per barrel, coinciding with summer peak cooling demand that will strain grids by an additional 3,340 megawatts. The "double whammy" effect will drive electricity and fuel prices higher across all economic sectors, depreciate the peso, and increase inflation, but energy efficiency and conservation measures can serve as a first-line defense to reduce vulnerability and stabilize the economy.