Labor group slams energy emergency as mere show

Labor group Partido Manggagawa has criticized President Ferdinand Marcos Jr.’s declaration of a state of energy emergency, calling it an attempt to project control over a crisis the government is structurally incapable of managing.

The group said the declaration exposes a fundamental contradiction between the government’s emergency response posture and the free market framework that governs the country’s energy sector, particularly the Oil Deregulation Law or Republic Act 8479.

“In the midst of the current price shocks, it is becoming clearer that the Philippine government is incapable of protecting the Filipino people because of the limitations imposed by the free market framework of the Oil Deregulation Law (RA 8479),” the group said in a statement.

Partido Manggagawa argued that the issue is not that the Philippine State lacks powers to deal with any emergency. Rather, the government’s dilemma lies in how to reconcile its desire to demonstrate control with the reality that deregulation and privatization policies command the economy.

Despite Malacañang’s assurances that it is “closely monitoring” price movements, the group pointed out that the government has very limited capacity to directly influence fuel prices or stabilize supply. Under full deregulation, oil importation, pricing, and distribution are almost entirely in the hands of private companies.

Even the Price Act or Republic Act 7581, which provides for the imposition of price ceilings during emergencies, cannot provide meaningful relief because oil and related products are not classified as prime commodities covered under the law.

The labor group also pointed to the Electric Power Industry Reform Act (EPIRA), which under Section 71 grants the President emergency powers during a crisis. Yet the provision, Partido Manggagawa said, is hardly exercised against the power oligarchs who exercise total control of the privatized power industry.

The group added that despite the Philippines’ strong climate commitments, the country’s planned energy transition remains heavily dependent on private investments and private sector leadership.

Partido Manggagawa said the State is well aware of the need for emergency intervention to prevent profiteering by private companies and protect consumers. However, market liberalization remains an overarching economic policy that discourages or even disables such intervention, exposing workers and farmers to the full impact of global price shocks.

The government must therefore consider reforming or replacing the Oil Deregulation Law as an immediate agenda, the group said. Energy is a strategic necessity that should not be left to the full discretion of market forces because it would undermine both economic stability and social justice.

“It is time to reclaim the State’s role in ensuring affordable and accessible energy for all,” the group said.

Partido Manggagawa also called on the government to address the chronic vulnerabilities of workers, whose poverty and insecurity are compounded by low wages, suppressed rights, and inadequate social protection.

The crisis, the group said, likewise underscores the urgent need for the passage of a legislated wage hike and the establishment of a National Minimum Wage Law.

Marcos signed Executive Order No. 110 on Tuesday, declaring a state of national energy emergency in response to surging global oil prices driven by the conflict in the Middle East. The order enables fast-tracked fuel procurement, advance payment for fuel contracts, and the adoption of the Unified Package for Livelihoods, Industry, Food, and Transport (UPLIFT) framework.

The Partido Manggagawa statement echoes growing criticism from various labor and progressive groups, including the Makabayan bloc in Congress, which has filed House Bill 8152 seeking the repeal of the Oil Deregulation Law.

The Makabayan lawmakers have argued that the law prevents the government from regulating fuel prices and intervening to secure supply. The Trade Union Congress of the Philippines has also called for the temporary government takeover of oil company operations under Section 14(e) of RA 8479.

Republic Act 8479, signed in 1998, liberalized the downstream oil industry by allowing private companies to set pump prices without government approval in response to global oil price movements.

Critics have long argued that the law leaves Filipino consumers vulnerable to price manipulation and profiteering during global supply disruptions. The Department of Energy has acknowledged that the law limits its capacity to intervene in pricing.