Senate President Senator Win Gatchalian is pushing for the immediate suspension of excise taxes on gasoline and diesel after global oil prices exceeded the legal threshold for emergency relief, seeking to ease the daily fuel burden on public transport drivers and commuters.
In a Super Radyo dzBB interview on Friday, Oct. 30, Gatchalian said global petroleum prices averaged $103 per barrel over the past 30 days, well above the $80 benchmark for fuel tax relief.
“Nung kino-compute namin, on the average for the last 30 days, $103 na per barrel ang average price ng petrolyo sa world markets. Ang threshold natin $80. Kapag lumampas na ng $80, dapat i-suspend na ang excise tax,” he said.
Gatchalian stressed that suspending the tax would provide immediate financial relief to public utility vehicle (PUV) drivers struggling with fuel expenses.
Gasoline currently carries an excise tax of ₱10 per liter, while diesel is taxed ₱6 per liter. A full suspension would remove ₱180 in excise tax from a 30-liter diesel purchase, offering potential savings for jeepney drivers and other transport workers.
Republic Act No. 12316 authorizes the suspension or reduction of petroleum excise taxes for up to three months when Dubai crude averages at least $80 per barrel for one month. Implementation requires a recommendation from the Development Budget Coordination Committee in coordination with the energy secretary.
The Department of Energy previously confirmed that Dubai crude averaged $99.41 per barrel from Aug. 13 to Sept. 11, exceeding the legal threshold.
President Bongbong Marcos signed the law on March 25. His administration has since suspended excise taxes on LPG and kerosene, while gasoline and diesel remain subject to taxation.
Gatchalian also urged the government to provide targeted fuel discounts directly to PUV drivers to deliver immediate assistance.
“Kung talagang tingin ng gobyerno ay makakaapekto sa koleksiyon natin ‘yung pagsuspinde, ibigay natin ‘yung diskwento doon sa mga drivers para agad maramdaman nila ‘yung tulong,” he said.
