REPRESENTATIVE Ryan S. Recto of the 6th District of Batangas has expressed his strong support for the administration’s call to urgently pass legislation granting the President emergency powers to suspend the excise tax on petroleum products.
Recto, who filed a similar bill as early as November 2024, pointed out that there must be a more flexible government response amid the escalating conflict in the Middle East.
The proposed measure, titled the “Act Granting the President of the Philippines Power to Suspend or Reduce the Excise Tax on Petroleum Products,” aims to amend the National Internal Revenue Code. Its goal is to equip the government with a mechanism to shield Filipino consumers from the inflationary pressures caused by volatile global oil prices.
“As the Philippines is a net importer of petroleum, geopolitical tensions often lead to sudden price hikes at the pump, which directly impact transportation costs and basic commodities,” Recto explained in the bill’s explanatory note. “While the current fixed excise tax provides stable revenue, it lacks the flexibility needed to mitigate the severe inflationary impact during international crises.”
He further pointed out that safeguard provisions under the TRAIN Act (Tax Reform for Acceleration and Inclusion Act) have largely expired, leaving the government without a direct tool to respond swiftly to economic shocks brought about by global conflicts.
House Bill No. 5961 is currently pending deliberation by the House Committee on Ways and Means, and Recto urges Congress to prioritize its passage to ensure timely support for Filipino consumers during these challenging times.
