Rising fuel prices are tightening pressure on daily expenses, prompting calls for direct government action as Senator Bam Aquino files a bill that would allow authorities to cap gasoline and diesel prices during national emergencies. The proposal seeks to classify fuel as a basic necessity, placing it under price control once a state of calamity or national emergency is declared.
Under Senate Bill No. 2011, Aquino said the measure addresses a gap in Republic Act No. 7581 or the Price Act. Current law allows price freezes on basic goods, but gasoline and diesel are excluded, leaving them outside government control even as pump prices increase. Only liquefied petroleum gas and kerosene are currently covered. “Under current laws, a price freeze is imposed on basic goods during a state of calamity or national emergency. However, we have noted that diesel and gasoline are not included,” Aquino said.
The bill seeks to include gasoline and diesel among products subject to a price freeze and extend the duration of price control from 15 days to 30 days. For consumers, this means fuel prices could be held at a fixed level during crises, limiting sudden increases that affect transport fares, delivery costs, and the price of goods.
Aquino also pushed for the suspension or removal of the 12 percent value added tax on fuel, saying it could reduce prices at the pump. “At the current diesel price of P124 per liter, removing the 12 percent VAT and excise tax would reduce the price by nearly P20 per liter. This would be a big help to Filipinos,” he said.
He urged the Department of Energy and economic managers to study VAT reforms as part of the government’s response. Aquino also backed Republic Act No. 12316, which allows the President to suspend or reduce excise taxes on fuel during emergencies, with potential price cuts of P10 per liter for gasoline and P6 for diesel.
