THE volatility of oil prices in the world market has prompted the Asia-Pacific Economic Conference (Apec) to embark on a search for other sources of energy.

Energy Secretary Jose Rene Almendras said Apec member-countries have recently agreed that there is a pressing need to implement alternative fuel sources programs.

The energy chief, who attended the recent Apec Energy Security Policy Roundtable, quoted Shai Agassi,  founder and chief executive officer of Better Place, an electric vehicle service provider, as saying that oil prices will temporarily go down in the near future but market prices would climb in the short or medium term, predicting that world crude prices would reach  $147 per barrel.

He attributed the surge in prices of crude oil to the growing demand of China, India and other countries for fossil fuel.

Against a backdrop of increasing fuel prices, Almendras pointed out that the Philippine transport sector will be adversely affected since a major bulk of fuel requirements of the sector are mainly imported.

He said the DOE had already started addressing this concern by implementing the Fueling Sustainable Transport Program (FSTP) as early as September 2010.  

Almendras said the FSTP seeks to convert diesel and gasoline engines of public vehicles to compressed natural gas, liquefied natural gas, liquefied petroleum gas and electric power which, he said, will be hopefully will also be implemented by the private sector.

Through FSTP, Almendras said DOE hopes to eventually reduce the number of gasoline and diesel-fed transport vehicles in the country.

Almendras said the US had already committed to have 1 million electric cars plying their streets by 2013.

“We are also calling on all government agencies, Congress, private entities, and the people to help the government promote and accelerate the FSTP program,” Almendras said.