AnaKalusugan party-list pushes for 3-month suspension of fuel excise tax
As prices of oil products went up for the 11th straight week, with diesel at a staggering P13.15/liter increase, AnaKalusugan party-list called on government to temporarily suspend fuel excise tax for at least three months.
“The increases have been unprecedented. Our people need a little breathing space as we are all still trying to recover from the economic impact of the COVID-19 pandemic,” AnaKalusugan nominee Ray Reyes said.
Under the Tax Reform for Acceleration and Inclusion (TRAIN) law, excise tax stands at P10 per liter for gasoline, P6 per liter for diesel, and P5 per liter for kerosene.
The Department of Energy (DOE) warned that if the high oil price trend continues with Dubai reaching $140 per barrel, gasoline will reach P86.72 per liter; diesel, P81.10 per liter; and kerosene, P80.50 per liter.
“Suspending the excise tax on fuel temporarily – for just three months – may result in a loss in government revenues, but what is important now is to address the plight of our people,” added AnaKalusugan nominee Ray Roquero.
Reyes said the spiraling prices of oil and petroleum products have a “domino effect” not just on transport fare but also on the prices of basic goods such as bread and sardines, among others.
Roquero said this is especially felt by strategic partners of AnaKalusugan composed of PUV drivers, farmers and fisherfolk members, among others, of the 1-United Transport Koalisyon (1-UTAK), the Workers and Peasants Party (Labor Party of the Philippines) and the Angat Ahon Magsasaka Inc.
“Our workers feel the brunt of the unabated increases in gasoline, diesel and cooking gas,” Roquero said.
Reyes also called on the government to hasten the establishment of a Strategic Petroleum Reserve (SPR) program to ease the impact when there is a marked increase in fuel prices in the global market.
The state-run Philippine National Oil Co. (PNOC) said it is looking at borrowing from the Development Bank of the Philippines or Land Bank of the Philippines to fund the interim SPR for diesel.