JV Ejercito pushes automatic fuel tax suspension amid looming “significant” oil price hike due to global conflicts
March 02, 2026
With the ongoing conflicts in the Middle East involving the United States, Israel and Iran—threatening to push oil prices even higher— Senate Deputy Majority Leader JV Ejercito renewed his call for the immediate passage of his bill mandating the automatic suspension of excise taxes on petroleum products.
“Klaro na ang unang tinatamaan ng taas-presyo sa krudo ay ang mga ordinaryong Pilipino- ang ating mga driver, ang mga magsasaka, ang maliliit na negosyo, at ang bawat pamilyang umaasa sa araw-araw na kita,” Ejercito said.
“Kapag tumataas ang presyo ng langis, domino effect ito, tumataas ang pamasahe, presyo ng pagkain, at iba pang pangunahing bilihin,” he added.
News reports say local oil firms will implement another round of fuel price increases, marking the 10th straight week of diesel hikes. Industry players have warned of a “significant” upward price adjustment next week if the conflict in the Middle East involving the United States, Israel, and Iran continues.
Ejercito’s Senate Bill No. 5 seeks to automatically suspend the imposition of excise tax on regular gasoline, unleaded premium gasoline, and diesel fuel oil when the average Dubai crude oil price based on Mean of Platts Singapore reaches or exceeds USD 80 per barrel.
“By establishing a clear and automatic trigger, this measure provides timely and predictable relief in times of extraordinary fuel price surges. It is a crucial step toward easing the burden on our constituents, especially low-income households and small businesses, who are most affected by fuel cost volatility,” the explanatory note read.
Under current law, excise taxes add P10 per liter on gasoline, P6 per liter on diesel, and P3 per liter on kerosene, as imposed under Republic Act No. 10963 or the TRAIN Law.
He noted that under the TRAIN Law, the Department of Finance may only recommend the suspension of the increase of the excise tax on fuels but not the imposition of the tax itself, making legislative action necessary.
While the government has allocated fuel subsidies for public utility vehicle drivers and operators, as well as assistance for farmers and fisherfolk, Ejercito emphasized that subsidies alone may not be enough to shield Filipinos from the continued impact of rising fuel prices.
“Our kababayans need a practical and immediate solution when faced with unforeseen events such as the recent developments in the Middle East that impact their daily lives and livelihood,” he stressed.
*“Protect our OFWs”*
Ejercito also cited the recent death of a Filipino caregiver in Israel amid the ongoing Middle East crisis, saying the tragedy underscores the real and present dangers many migrant workers face abroad.
“We extend our prayers to her family and to all our kababayans in affected areas.”
He issued a firm call to concerned government agencies, particularly the Department of Migrant Workers and Philippine embassies.
“I call on our government agencies to exert maximum effort and mobilize all available resources to protect and assist our OFWs. Hindi puwedeng kalahati ang aksyon. Kailangan buo, mabilis, at may malasakit. Deliver immediate aid, ensure their safety, and provide sustained support to those in affected areas,” he said.
