DOE eyes 30% fuel discount to agriculture sector

rising oil prices

The Department of Energy (DOE) is planning to give a 30-percent discount on petroleum products to farmers and fishermen to ensure food security.

Energy Undersecretary Felix William Fuentebella said the DOE was proposing to oil companies to grant this subsidy to the agricultural sector.

“In our negotiations, we will [seek] a fuel discount of 30 percent per liter. That would be the benchmark for our negotiations,”  director of the DoE’s Oil Industry Management Bureau Rino Abad was quoted in a report.

Fuentebella said the two sectors are willing to discuss the proposed subsidy.

“They will inform higher-ups, like their boards. It’s not only the CSR (corporate social responsibility) approach, but also sales and marketing, for a better organized agriculture sector,” Fuentebella noted.

According to DOE’s initial computation, companies registered with the Department of Agriculture (DA) have bought P15 trillion worth of petroleum products.

The DOE is also looking at possible “meaningful partnerships” between the two sectors.

 

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