'Ang bagal': Legarda bats for swift excise tax suspension on diesel, gas
At A Glance
- Senator Loren Legarda called for the immediate suspension of fuel excise tax and value-added tax (VAT) on diesel and gasoline, even as she criticized the slow government response to elevated fuel prices.
Senator Loren Legarda called for the immediate suspension of fuel excise tax and value-added tax (VAT) on diesel and gasoline, even as she criticized the slow government response to elevated fuel prices.
This follows the April 13, press conference of President Marcos, where he announced the suspension of excise taxes on liquefied petroleum gas (LPG) and kerosene. He also noted that the possible suspension of excise taxes on diesel and gasoline will still be discussed in the next UPLIFT meeting.
“Malaking tulong ang suspensyon ng buwis sa LPG at kerosene dahil direktang naaapektuhan nito ang mga kabahayan at ang food service sector. Ngunit nakapagtataka na hindi pa rin tinutugunan ang pangunahing panawagan ng taumbayan, ang diesel, at gasolina na siyang ginagamit ng magsasaka, tsuper, at mangingisda para kumita," Legarda said.
(The suspension of taxes on LPG and kerosene is a big help because it directly affects households and the food service sector. Yet it is puzzling that the primary demand of the people has not been addressed—diesel and gasoline, which farmers, drivers, and fisherfolk rely on to earn a living.)
"Anim na linggo na mula nang sumiklab ang krisis sa Middle East, hanggang ngayon ba ay hindi pa din tapos ang pag-uusap sa polisiyang ito? (It has been six weeks since the crisis in the Middle East erupted, does this mean discussions on this policy are still not done?),” asked the lady lawmaker.
In response, Legarda renewed her call to suspend fuel taxes immediately. She reckoned that the impact would be direct, immediate, and nationwide.
“Sa presyong ₱150 kada litro ng diesel, aabot sa humigit-kumulang ₱22.07 ang matitipid kung pansamantalang aalisin ng gobyerno ang ₱6 excise tax at 12 percent VAT. Samantala, sa gasolina na nasa ₱90 kada litro, mababawasan naman ng humigit-kumulang ₱19.64 kada litro kung aalisin ang ₱10 excise tax at 12 percent VAT. Kung agad tayong gagalaw, ang diesel na ₱150 ay magiging ₱128 at ang gasolina na ₱90, magiging ₱70 na lamang. Direkta itong mararamdaman ng mga mangingisda, magsasaka, driver, at bawat pamilyang Pilipino,” she stated.
(At a diesel price of ₱150 per liter, savings would reach about ₱22.07 if the government temporarily removed the ₱6 excise tax and 12 percent VAT. Meanwhile, for gasoline priced at ₱90 per liter, the reduction would be around ₱19.64 per liter if the ₱10 excise tax and 12 percent VAT were lifted. If action were taken immediately, diesel at ₱150 would drop to ₱128, and gasoline at ₱90 would fall to ₱70. This would be directly felt by fisherfolk, farmers, drivers, and every Filipino household.)
Legarda also rejected the argument that targeted "ayuda" or aid was necessarily the more efficient response. She said this overlooks not only the slow pace of government processes but also the deeper structural problems that arise when assistance is routed back through layers of bureaucracy.
“Mabagal ang gobyerno. Nakita na natin, ilang linggo na, hindi pa rin nararamdaman ang tulong. Kapag ang buwis sa petrolyo, tulad ng VAT, ay dadaan pa sa gobyerno, babalik pa ito sa burukrasya, iikot pa sa kung ilang pirma, dadaan pa sa isang ahensya papunta sa isa pa, kulang-kulang din ang listahan ng bibigyan, at hindi naman tayo pinanganak kahapon para hindi malaman na may makikinabang pa na iba sa rollout niyan. Samantalang kung ibababa ang buwis, diretso itong mararamdaman,” she said.
(The government is slow. We’ve seen it—weeks have passed, and the relief is still not felt. When fuel taxes like VAT go through government channels, they get caught in bureaucracy, passed from one agency to another, with incomplete lists of beneficiaries, and we are not naïve to think that others won’t benefit from that rollout. Whereas if taxes are reduced, the impact is felt right away.)
“Hindi dapat ayuda lang. Para lamang ito sa pinakamahirap na kailangan itawid. Mawawalan din ito ng silbi kung hindi naman ito makararating sa mga kababayan natin sa oras na kinakailangan,” she further said.
(It should not be just aid. That is only for the poorest who need to get by. It will also lose its value if it does not reach our people at the time they need it.)