MANILA: The recently announced discovery of a new natural gas reservoir at the Malampaya gas field west of the Philippines has raised hopes that electricity costs can be eased in the country, where consumers face some of the highest power rates in South-East Asia.
But analysts said the availability of a new source of domestic fuel is more likely to bolster energy security and buy time until local gas reserves run out than deliver immediate relief on monthly bills.
“Had we not discovered this, our gas supply would have run out by 2028. This extends it by another seven years or so, to 2035,” Energy Secretary Sharon Garin has said.
Dindo Manhit, president of the Manila-based think-tank Stratbase ADR Institute, said declining domestic gas output could force greater reliance on imports, which would likely push prices higher.
So the primary benefit of the discovery lies in avoiding a sharper price spike, rather than lowering electricity tariffs outright, he added.
Electricity tariffs in the Philippines consistently rank among the region’s steepest, often exceeding by 50 per cent those of neighbours such as Indonesia and Vietnam, where governments provide heavier subsidies.
While Singapore’s household power rates are typically
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