Poe urges executive branch to look for ways to help transport with high prices
MANILA, Philippines — Sen. Grace Poe called on the executive department to consider measures like suspending the collection of excise taxes on fuel to help public utility vehicle (PUV) drivers and operators with high prices.
This, as the Senate is on break, and is set to resume session under the 19th Congress on July 25.
Poe, who chairs the Senate's public services committee, also warned of a widescale strike by PUV drivers and operators if the government fails to address rising prices.
"While the legislature is on a break, the executive department must alleviate the pain of our PUV drivers and operators. Gobyerno lamang ang maaaring sandalan ng ating mga tsuper sa pagharap nila sa krisis na ito. (It is the government who can only help them face this crisis)," she said in a statement on Tuesday.
Local pump prices have been rising since the start of the year, prompting the Philippine government to disburse subsidies for affected sectors.
Industry figures show that gas prices have reached P82 per liter and diesel prices climbed to P85 per liter as of June this year.
The Land Transportation Franchising and Regulatory Board (LTFRB) was able to distribute fuel subsidies to over 90% of PUV operators, according to Sen. Poe.
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However, she lamented how the total amount of P2.5 billion intended as financial aid for PUVs, has not yet been fully distributed.
"A number of PUV drivers and operators are set to stage a widescale transportation strike should the problem on the rising prices of petroleum products not be sufficiently addressed," she said.
"While it is true that failure to meet our revenue targets may have adverse effects on our country, so could a transportation strike which can paralyze operations in key areas and cost us much more," she added.
While the LTFRB is able to disburse aid to its beneficiaries, the Department of the Interior and Local Government has yet to submit its list of veritifed tricycle drivers and operators eligible for such subsidies, the lawmaker said.
She renewed her call to the executive branch and the Finance department to lift the excise taxes on fuel and petroleum products until the global market stabilizes.
The Department of Finance has opposed the proposal, saying in October 2021 that suspending such excise taxes will likely lead to the loss of P131 billion in revenues that can fund pandemic measures.
The excise tax on gasoline is at P10 per liter, P6 per liter for diesel and P5 per liter for kerosene, according to the Tax Reform for Acceleration and Inclusion Law (TRAIN Law).
Rep. Rufus Rodriguez (Cagayan de Oro) previously said he intends to re-file a bill suspending fuel excise taxes, believing that such a move will bring "immediate relief" to the people.
This week, local oil firms announced a price increase of P2.7 per liter for gas; P6.55 per liter for diesel; and P5.45 per liter for kerosene.
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