Negros Occidental freezes barangay aid to brace for oil crisis

By Glazyl M. Jopson

BACOLOD CITY — Negros Occidental Gov. Eugenio Jose Lacson announced that the provincial government will temporarily suspend its financial assistance program for barangays due to the ongoing tensions in the Middle East and their potential economic impact.

In a media interview, Lacson said he made the announcement during the recent annual distribution of financial aid to several barangays, where the province released PHP 56.4 million in assistance.

The funds supported various community projects, including road concreting, installation of solar streetlights, procurement of office equipment and furniture, improvement of multipurpose buildings, construction of communal toilets, renovation of barangay halls, acquisition of multipurpose vehicles, and construction of drainage canals.

Lacson explained that the province needs to ensure it has sufficient funds to maintain government operations before continuing the aid program.

He expressed concern about the possible economic effects of the conflict involving Iran, Israel, and the United States, which has contributed to a global oil crisis.

The escalating tensions have disrupted shipping through the Strait of Hormuz, a critical chokepoint for roughly 20 percent of the world’s oil supply, driving sharp increases in fuel prices worldwide and particularly affecting oil-import-dependent economies like the Philippines.

He added that while assistance for the transport sector is not included in the provincial budget, the government recognizes the need to support drivers affected by rising fuel prices.

The governor said the province will first determine how much aid will come from the Land Transportation Franchising and Regulatory Board and from local government units before deciding how much the provincial government can contribute.

“We still have to sit down and discuss the matter. The provincial government will try to extend as much help as we can,” Lacson added.

Lacson expressed hope that the situation in the Middle East will not worsen, stressing the need for careful and prudent use of provincial funds.

“We have to make sure we have enough funds to run the provincial government,” he said.

LTFRB-Negros Island Region director Gerry Llena said in a separate media interview that he is awaiting final guidelines from the central office related to the distribution of subsidies to drivers and operators.

“Technically, I cannot say when. But, I am in constant communication with them, and I am very optimistic since the central office has been deliberating on the matter. They are just thinking on how to cascade it per region,” he added.

The LTFRB is considering the online distribution of fuel subsidies amounting to PHP 5,000 each to qualified beneficiaries in the public utility vehicle sector amid rising oil prices to ensure a more convenient and efficient process.

Llena said the approach avoids placing undue pressure on local government units, adding that the majority of LGUs have agreed to provide their own counterpart funding.

He said the intention is not only to deliver the program of the national government through the LTFRB but also to alleviate the effect of fuel prices and gather as many stakeholders as possible that have the capacity to help affected workers.

Llena did not provide the exact number of drivers and operators in the region’s transport industry but noted there are thousands of them covering Negros Occidental, including Bacolod City, Negros Oriental, and Siquijor.