Malacañang said Thursday that the government has yet to determine how much excise tax on petroleum products may be reduced or whether it will be fully suspended, as global oil prices continue to fluctuate.
Presidential Communications Office Undersecretary Claire Castro said the matter remains under review by economic managers, citing ongoing volatility in fuel prices.
“Right now, we have spoken with Secretary Sharon Garin, and this is under review because petroleum product prices continue to change,” Castro said in a press briefing.
Castro made the statement when asked if there was already a computation on the potential reduction or suspension of excise taxes following the passage of the law granting the president authority to adjust fuel levies.
She also explained why the measure retains a provision stating it will take effect 15 days after publication, despite calls for immediate relief from rising pump prices.
According to Castro, the provision complies with Article 2 of the Civil Code, which requires a standard grace period before laws are implemented.
“This is for the right to due process so that all stakeholders, our fellow citizens, and everyone involved will be informed,” she said.
She added that the 15-day period allows concerned sectors to review, understand, and prepare for the law’s implementation, noting that publication serves as official notice to the public.
Castro emphasized that only Congress has the authority to amend the effectivity clause, not the president.
“Only Congress can change this, so it is not in the President’s hands,” she said.
Asked whether the government could instead implement broader fuel subsidies similar to those in other countries to cushion consumers from price spikes, Castro said the proposal would be studied.
President Ferdinand Marcos Jr. recently signed Republic Act 12316, which authorizes him to suspend or reduce excise taxes on petroleum products if Dubai crude oil averages at least $80 per barrel for one month, upon recommendation of economic managers.
Any tax adjustment is time-bound and subject to reporting requirements to Congress, with the authority set to remain in effect until Dec. 31, 2028.
The government has already rolled out targeted fuel subsidies for specific sectors such as public utility vehicle drivers, but a nationwide subsidy program has yet to be adopted.
