So critical is the issue on skyrocketing pump fuel prices that Congress should be allowed to hold special sessions in order to help remedy the situation.
House Deputy Speaker and 1-Pacman Party-list Rep. Mikee Romero made this pitch to Malacañang Monday, Feb. 21, even as another round of hefty pump price hikes stare weary consumers in the face this week due to continued movements in the world market.
Crude cost has jumped from about $60 per barrel last year to more than $90 last week because of the reopening of the economies of many countries amid the coronavirus disease (COVID-19) pandemic and the ongoing Russia-Ukraine tensions.
Romero said he would support a proposal to reduce taxes on oil prices and pump prices. “Let us reenact Section 43 of the Tax Reform Acceleration and Inclusion (TRAIN) Law, which provided for the automatic suspension of excise taxes when the price of crude in the world market hit $80 per barrel,” he said.
Unfortunately for the public, he said Congress (House of Representatives and Senate) allowed such suspension only for the years 2018, 2019, and 2020.
“Let us make this a permanent tax and price-reduction mechanism by reenacting or reviving it either as a separate law or as an amendment to TRAIN,” he added.
However, Congress must be in session in order for the lawmaker to provide relief to the public via legislation.
"Since Congress is on its three-month election campaign recess, the only way we can do that is for the President to call us to a special session so we can consider several pending tax and fuel price-reduction bills,” Romero said.
He said it would not be difficult to convene the solons, since only a few members of and the Senate need to physically meet in their session halls, while the rest could participate through online platforms. Hybrid meetings or hearings like these became commonplace with the onset of the COVID-19 pandemic in 2020.
He pointed out that without new laws, the executive branch or the President has little power to reduce taxes on oil products and pump prices. “The remedy really lies with Congress,” he stressed.
Due to the rising cost of crude oil in the world market, domestic fuel prices have increased by a whopping P7.95 per liter for gasoline, P10.20 for diesel, and P9.10 for kerosene since last month.
That is not counting the more than 10-per-liter hike imposed by local oil companies last year. What's worse is that another round of increases is expected Tuesday, Feb. 22.
“We can agree in advance on which bill or bills to approve. We can even ask the President to certify them as urgent to expedite the approval process,” Romero added.