By Ruth Abbey Gita-Carlos | Philippine News Agency
The government is currently reviewing the conditions for the proposed reduction and suspension of the excise tax on fuel products, Malacañang said on Thursday.
This came after President Ferdinand R. Marcos Jr. said on Wednesday that the proposal requires a thorough assessment of multiple factors, pointing out that this is a “very complicated calculation.”
In a statement, Palace Press Officer Claire Castro justified Marcos’ pronouncement, saying the President’s power to suspend or reduce excise taxes can only be exercised “if the average Dubai crude oil price exceeds US$80 per barrel for one month or 30 days preceding the order.”
“Nasabi ng Pangulo iyan dahil ayon sa naaprubahan na bill, ang Pangulo ay makakakilos at makakapagdesisyon lamang ayon sa recommendation ng DBCC,” she said.
Castro was referring to a House of Representatives bill, which states that the President “may, upon the recommendation of the DBCC, in coordination with the Secretary of Energy, suspend the imposition of, or reduce the excise taxes on fuel” subject to conditions.
She noted that while the price of Dubai crude oil has reached more than US$100 per barrel, the level has not been sustained for a full month.
“Ayon nga kay DOF (Secretary Frederick) Go, wala pang 30 days sa ngayon. Pero, ngayon pa lamang ay inaaral na ang kondisyon sa pag-reduce or pag-suspend the excise tax on fuel,” Castro said.
She also explained that the excise tax can only be imposed upon the entry of imported oil.
“Kung walang maaangkat, wala tayong mapag-uusapang excise tax. Pero kapag naisabatas naman po yan, asahan ang mabilis na aksyon para maibaba ang presyo ng fuel,” she said.
In an interview in San Juan City on Tuesday, Marcos assured the public that the government continues to monitor the situation and is ready to act, should conditions warrant intervention.
