Philippines net oil import invoice down 40%

Danessa Rivera (The Philippine Star) – January 12, 2021 – 12:00am

MANILA, Philippines — The country’s internet oil import bill dropped by more than 40 % as of finish-September past 12 months owing to depressed global selling prices and the detrimental influence of the pandemic, according to the Section of Strength (DOE).

The net import invoice, or the distinction among oil imports and exports, amounted to $4.69 billion from January to September very last yr, a fall of 43.4 percent from $8.28 billion in the exact same period in 2019.

The DOE attributed the fall to the important drop in fuel demand very last year amid the pandemic.

“Demand dropped appreciably owing to the lockdown. Quarantine measures brought about extremely slow economic action,” DOE-Oil Sector Management Bureau (OIMB) director Rino Abad said in a textual content information.

The company said the country’s full oil import invoice amounted to $4.94 billion from January to September previous 12 months, a 44.1 p.c slide from the prior year’s $8.84 billion.

Of the whole imports of 16.05 million liters, 74.3 percent consist of concluded products and 25.7 p.c is crude oil.

The state imported a overall of 11.93 million liters of petroleum throughout the time period, 17.5 per cent much less than the prior year’s 14.45 million liters.

In the meantime, imported crude oil arrived at 4.13 million liters, a lessen of 31.3 percent from 6.01 million liters a calendar year in the past.

On the other hand, the Philippines’ export earnings amounted to $254.1 million final yr, more than half of the prior year’s $557.1 million.

In phrases of volume, the DOE data showed overall country’s petroleum export slipped by 29.4 percent from 1.48 million liters to 1.05 million liters.

Damaged down, 96.7 percent of the complete export are concluded items and crude oil accounting for the stability.

The region exported 34 million liters of crude goods and 1.01 million liters of concluded merchandise, which declined by 68.8 percent and 26.3 percent, respectively.

In August very last yr, Pilipinas Shell Petroleum Corp. completely shut down its refinery functions in Tabangao, Batangas and reworked the facility into a whole import terminal in August.

In the meantime, Petron Corp.’s refinery in Bataan was shut down in May 2020 to give way to upkeep functions on important process models and to mitigate the impression of lower fuel desire and inadequate refining margins. It resumed operations in Oct previous year.

On the other hand, the country’s only remaining refinery in operation is also established to shut down in the middle of the thirty day period to lessen losses in perspective of weak refining margins.

Petron said it would also switch to importing fuel merchandise, noting that there is no degree taking part in industry among importers and refiners in conditions of taxes.

The Bataan refinery’s shutdown, even so, is not long term. Its operation will resume when the financial state enhances.