Baguio Solon Urges Malacañang To Suspend Excise Tax On Fuel, Petroleum Products

Following a continuous increase in prices over eight weeks, Baguio City congressman Mark Go urged President Rodrigo Duterte to suspend the excise tax implementation for fuel and petroleum products under the TRAIN law (RA 10963) on Tuesday, October 26.

In a House Resolution (House Resolution No. 2320), the Baguio lawmaker recommended to immediately suspend the excise tax until fuel and petroleum prices stabilize and return to their August 2021 level.

The TRAIN law states that the excise tax on all petroleum products, including oil and fuel, will increase based on a staggered schedule from 2018 to 2020.

The Baguio solon maintained that fuel and petroleum prices have steadily risen for nine weeks straight since August 31, adding up to P8.40 per liter in gasoline, P9.15 per liter in diesel, and P8.65 in kerosene.

The relentless hikes have resulted in high fuel prices across the country, Rep. Go said.

“In Northern Luzon, particularly in Baguio City, the average new price per liter of unleaded gasoline is P68.75 and diesel at P54.16,” the Baguio congressman stated.

Similar prices have been observed in different regions: in Metro Manila (City of Manila), unleaded gasoline is sold at P67.50 per liter and diesel at P54.52, while unleaded gasoline in Southern Luzon (Legazpi City) costs P64.38 per liter and diesel at P52.56 per liter.

In Visayas (Cebu City) and Mindanao (Zamboanga City), unleaded gasoline is as high as P65.24 and P67.59, while diesel costs P56.65 and P61.92 in each area, respectively.

Rep. Go argued that the exorbitant fuel prices and the increased cost of other basic goods will double the strain on Filipinos who have lost their jobs in the pandemic.

He further asserted that the suspension of excise taxes on fuel and petroleum wil lessen the burden and financial strain on families and marginalized sectors amid the ongoing COVID-19 pandemic.

The lawmaker cited NEDA data, which placed the country’s unemployment rate at 8.1% as of August this year—equivalent to 3.9 million jobless Filipinos.

“Filipinos still continue to struggle with overwhelming financial difficulty and economic uncertainty in this health crisis. They are not equipped to handle this added burden in a challenging time,” the Baguio solon said. ###