PNOC budget slashed by P2.5 billion in a bid to refocus its mandate - Gatchalian

The Senate Committee on Finance Sub-Committee E chaired by Senator Win Gatchalian has reduced the budget of the Philippine National Oil Company (PNOC) by P2.5 billion for 2023 as part of efforts to compel the government-owned and controlled firm to refocus its mandate into providing stable and secure supply of oil, including the exploration of oil and gas.

The P2.5 billion reduction in PNOC's budget was originally meant for its Targeted Fuel Relief Program (TFRP) and its strategic petroleum reserve (SPR) program.

However, Gatchalian said that the fuel relief program is a duplication of the government's Pantawid Pasada program and that the SPR program is yet to hurdle feasibility issues and could take billions of pesos to implement, Gatchalian pointed out.

"The original mandate of PNOC is to provide a stable and secure supply of oil, including exploring oil and gas. But some of the projects being implemented now by PNOC are not aligned with its original mandate, such as the fuel relief program. Some of these projects too lack feasibility studies and won't help the government achieve energy security," he emphasized.

Serving as the vice-chair of the Senate Committee on Energy, Gatchalian earlier called on the Department of Energy (DOE) to put the PNOC in order and set guidance for the company, noting that PNOC and its subsidiaries have failed in upholding their original mandate.

"PNOC is the government's vehicle to locate oil and gas fields but as we all know, there is only one major oil and gas find and that is Malampaya," he noted.

To help PNOC refocus its operations towards its original mandate, Gatchalian has filed a bill seeking to establish a national policy and framework for petroleum exploration and development in the country by amending the PNOC charter.

He emphasized that the end goal of Senate Bill No. 380, which gives PNOC an exclusive mandate to undertake oil and gas exploration and development programs, is to reduce the country's dependence on oil imports amid high level of petroleum prices, driving inflation rate at record levels and dampening economic growth.

"Mahalagang mapagtibay natin ang mandato ng PNOC upang magkaroon pa tayo ng mga oil and gas development projects na magpapalakas sa ating energy security position," he added.

Budget ng PNOC binawasan ng P2.5 bilyon sa layuning isaayos ang trabaho nito - Gatchalian

Binawasan ng Senate Committee on Finance Sub-Committee E, na pinamumunuan ni Senador Win Gatchalian, ang budget ng Philippine National Oil Company o PNOC ng P2.5 bilyon para sa 2023 bilang bahagi ng pagsisikap na himukin ang kumpanya na muling ituon ang mandato nito sa pagbibigay ng sapat na suplay ng langis sa bansa, kabilang ang pagdiskubre ng mga panibagong mapagkukunan ng langis at gas.

Nakalaan sana ang pondong P2.5 bilyon para sa Targeted Fuel Relief Program (TFRP) at sa strategic petroleum reserve (SPR) program ng PNOC.

Pero sinabi ni Gatchalian na ang fuel relief program ay katulad na ng Pantawid Pasada program ng gobyerno samantalang ang SPR program ay kailangan pang dumaan sa isang feasibility study na gugugol pa ng bilyung bilyong piso bago pa maipatupad," punto ni Gatchalian.

"Ang layon talaga ng PNOC ay magbigay ng sapat na suplay ng langis at gas sa bansa pero lumalabas na ilan sa mga proyektong ipinatutupad nito ngayon ay hindi naaayon sa iminandato ng pamahalaan, tulad ng fuel relief program. Ilan din sa mga proyektong ito ay kulang sa feasibility studies at hindi makakatulong sa pagkamit ng energy security ng bansa," ani Gatchalian.

Bilang vice chairman ng Senate Committee on Energy, nauna nang nanawagan si Gatchalian sa Department of Energy (DOE) na ayusin ang PNOC at magtakda ng patnubay para sa kumpanya, dahil sa paniniwala nyang bigo ang PNOC at mga subsidiary nito na ipatupad ang talagang mandato nila.

"Ang PNOC dapat ang tutulong sa gobyerno upang makahanap ng mga oil at gas fields pero alam nating lahat na iisa pa lang ang nahanap na major oil and gas field sa bansa at 'yan ay ang Malampaya," ayon kay Gatchalian.

Upang matulungan ang PNOC na muling ituon ang operasyon nito patungo sa talagang mandato nito, naghain si Gatchalian ng panukalang batas na naglalayong magtatag ng pambansang patakaran para sa oil and gas exploration at development sa bansa sa pamamagitan ng pag-amyenda sa charter ng PNOC.

Binigyang diin ng senador na layon ng Senate Bill No. 380 na magbigay sa PNOC ng eksklusibong mandato na magsagawa ng oil and gas exploration at development programs upang mabawasan ang pag-angkat ng bansa ng langis sa gitna ng mataas na presyo ng petrolyo, na nagiging sanhi rin ng pagtaas ng presyo ng mga pangunahing bilihin at nagpapahina sa paglago ng ekonomiya.

"Mahalagang mapagtibay natin ang mandato ng PNOC para magkaroon pa tayo ng mga oil and gas development projects na magpapalakas sa ating energy security position," dagdag nya.