Lawmaker files bill to soften impact of rising fuel prices   

The upward trend in fuel prices affects not only motorists, but all those who depend on mobility to commute or have their goods delivered. One lawmaker has moved to file a bill to reduce the impact that rising fuel prices continues to have across the population.

Rep. Leody Tarriela of Occidental Mindoro has filed a bill for progressive excise taxes on fuels 

Rep. Leody Tarriela of the lone district of Occidental Mindoro filed House Bill No. 3628 that aims to apply a progressive excise tax on fuel. “Kung ang HB 3628 ay maisasabatas, ang nakaakmang pagtaas ng presyo ng petrolyo ay maiibsan nang kaunti. Magiging mas mababa ng Php 6 ang gasoline at Php 3 naman sa bawat litro ng diesel,” he said in a statement. 

(If HB 3628 is passed into law, it will somehow blunt the impending increase in prices of petroleum products. Gasoline will cost Php 6 less and diesel will be cheaper by Php 3 per liter.) 

The measure proposes that excise taxes be reduced as fuel prices climb higher

Under the proposed bill, excise taxes for unleaded gasoline priced at Php 50 per liter or less shall be pegged at Php 10. This will gradually decrease by Php 1 for every Php 5 increase in the price per liter, until the excise tax amounts to Php 4 when pump prices reach Php 75 per liter or higher. 

Meanwhile, diesel excise taxes will be set at Php 6 based on a per liter price of Php 50 or lower. The tax will decrease by 50-centavo increments until it reaches Php 3 when diesel prices touch Php 75 or higher per liter.    

Rep. Tarriela says he recognizes that the government still needs revenues for its projects 

Tarriela clarified that the bill will not remove excise taxes but is instead meant as a compromise measure, recognizing the need for government to raise revenues for projects.    

Current excise taxes slapped on both diesel ang gasoline, amounting to Php 10 and Php 6 respectively, are a result of the Tax Reform for Acceleration and Inclusion (TRAIN) Law enacted in 2017. There have been repeated calls to temporarily suspend fuel excise taxes in light of higher oil prices brought about by global events.         

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