MANILA — President Ferdinand Marcos Jr. is seeking emergency powers from Congress to allow a temporary reduction of excise taxes on petroleum products if global oil prices surge due to escalating conflict in the Middle East.
Speaking at a Palace briefing Tuesday, Marcos said he is consulting Senate and House leaders about granting him authority to cut fuel excise taxes should Dubai crude exceed $80 per barrel. He emphasized the measure would be temporary and lifted once the crisis subsides.
Under Republic Act No. 10963, or the Tax Reform for Acceleration and Inclusion Act, excise taxes were previously subject to automatic suspension at certain price thresholds, but that provision expired in 2020.
Finance Secretary Frederick Go said the request is a precautionary tool to allow swift action if needed.
Dubai crude briefly climbed above $82 per barrel this week amid tensions involving Iran and threats to disrupt shipping through the Strait of Hormuz, a key global oil route.
Energy Secretary Sharon Garin assured the public that fuel supply remains sufficient, though the Philippines imports about 98 percent of its crude from the Middle East.
Lawmakers, including Senator Sherwin Gatchalian, said the proposal would be studied carefully, citing potential revenue losses if excise taxes are suspended.
The government is also preparing targeted fuel subsidies and possible transport assistance should prices continue to rise.
