Can Philippines' fuel mix law entice other countries to follow suit?

While most people bemoan the rising oil prices, they should take step back and look at the positives. Looking at the bigger picture, the surge in price actually helps to save the world. Power industries are moving towards renewable sources of energy or 'clean' energy to cut their reliance on oil. These alternative sources of energy help in reducing pollution and waste materials.

Even existing power companies are slowly integrating oil and other sources such as palm or even scrap wood to produce biofuels. Though the use of oil will still be prevalent, it is a step forward in the right direction.

The Philippines is taking it one step further by actually passing a law mandating the use of biofuel. Philippine President Gloria Macapagal Arroyo signed into law a bill forcing oil companies to mix fuel made from plants, known as biofuel, into gasoline and diesel within the next two years. The law requires retail gasoline to include 5 percent ethanol and diesel to include 1 percent biodiesel.

"We anticipate a learning curve," Energy Secretary Raphael Lotilla said, when asked whether oil companies would abide by the requirement. "We are confident that within a year, we will have a smooth implementation, fully compliant with all the requirements."

Looking at the Philippines, the after effects of increasing oil prices go beyond environmental. It could actually serve as an economic tool. For instance, promoting the use of biofuel would encourage expansion of plantations, helping to boost productivity in agriculture, which accounts for a fifth of the $98 billion economy. It will also create more jobs in agriculture, where unpaid family workers contribute a fourth of the workforce.

Other countries might follow Philippines example and pass the same type of laws as there are clear benefits that come from it. Already countries like Malaysia are stepping up their efforts to use clean energy sources to help control their pollution level among other reasons.

Although money, rather than the earth's welfare, may be the main motivation of turning environmentally friendly, there is no doubt that this could only be beneficial in the long run. However, what would actually happen should oil prices return to normal or continue to drop? Would countries revert back to oil as a source for energy? There are no guarantees but for now, the world can breathe a little easier. What do you think?