The Department of Energy has approved the terms of reference (TOR) on the engagement of a transaction advisor for the country’s proposed strategic petroleum reserve.
State-run Philippine National Oil Co. reported that the DOE approval of the TOR on June 27 was sought in compliance with certain provisions of DOE circular no. DC 2021-09-0028, entitled “Establishing the Philippine Strategic Petroleum Reserve,” issued in the last quarter of 2021.
The PNOC board approved the revised TOR on the engagement of the TA on May 16. PNOC did not say when it planned to conduct the bidding on the TA contract.
Former Energy Secretary Alfonso Cusi said the SPR would help bring the country closer to attaining energy security by reducing dependence on the importation of crude oil and finished petroleum products.
The SPR consists of large stockpiles of crude oil and petroleum products, stored in facilities located around the country―and possibly overseas—that are released during periods of local or international oil supply disruptions.