At least two senators have filed the measure seeking to grant President Ferdinand “Bongbong” Marcos Jr. the authority to suspend or reduce fuel excise tax in response to the Middle East conflict.

Sen. Joel Villanueva filed Senate Bill No. 1922, which authorizes the President, upon the recommendation of the finance and energy departments, to suspend or reduce excise tax on gasoline and diesel with average prices reach or exceed US$80 per barrel based on the Mean of Platts Singapore (MOPS).

“In times of global uncertainty, our government must act with both compassion and prudence. The measure we filed today on the temporary lifting of excise tax on fuel seeks to strike that balance,” Villanueva said in a statement.

“Fuel price spikes do not affect transportation alone. They cascade across the economy, increasing food prices, electricity costs, logistics expenses, and ultimately inflation. The burden is felt most heavily by ordinary Filipino families, public utility drivers, farmers, fisherfolk, and small businesses,” the senator pointed out.

Villanueva said the Department of Finance (DOF) is in the best position to assess the “inflationary pressures, revenue implications, and macroeconomic stability to make the necessary recommendations to the President,” while the Department of Energy (DOE) is mandated to assess current market conditions to help the DOF complete its recommendations to the President.

“Our proposed mechanism also provides for the automatic lifting of such suspension once global oil prices stabilize, thereby preserving fiscal discipline and revenue predictability,” Villanueva said.

“While these taxes serve important fiscal objectives, extraordinary global circumstances call for calibrated and responsive mechanisms that balance revenue considerations with consumer protection,” he added.

Sen. Paolo “Bam” Aquino IV also filed Senate Bill No. 1923 also granting the President authority to suspend excise tax on oil products during national and global emergencies. 

Aquino warned that delayed or rigid responses may deepen economic hardships, especially for low-income families and workers who have little buffer against sudden price increases.

“This will primarily affect our poor countrymen. Especially since the cost of goods increases when the price of petroleum products increases,” Aquino said. 

“When the price of crude oil increases, the price of goods will increase. The ordinary Filipino will suffer again,” he stressed.