JV Ejercito urges swift passage of automatic fuel excise tax suspension
March 16, 2026
Deputy Majority Leader Senator JV Ejercito on Monday urged the swift passage of a measure that would establish an automatic mechanism for the suspension of excise taxes on petroleum products during periods of high global oil prices, saying it would provide immediate relief to Filipino consumers facing rising fuel costs.
Senate Bill No. 1982, principally authored and co-sponsored by Ejercito, seeks to amend Section 148 of the National Internal Revenue Code to allow the President to suspend or reduce excise taxes on petroleum products under defined conditions.
“The objective of this measure is simple: to bring relief to our fellow citizens, especially Filipino minimum wage earners and the middle class who will bear the effects of conflicting interests and great power competition in the Middle East,” Ejercito said.
He acknowledged concerns about the government’s fiscal space but stressed that the relief provided to the public outweighs the revenue losses from temporarily suspending fuel taxes.
“I believe that the revenues foregone by suspending excise taxes in these extraordinary times is incomparable to the extraordinary relief that we can provide for our people,” he said.
“Para po sa akin, mas mabuti pa na maramdaman ng ating mga kababayan nang direkta ang serbisyo at tulong ng gobyerno. Let us put our constituents first,” he added.
Ejercito explained that the measure seeks to establish a clear and automatic trigger for suspending fuel excise taxes to avoid delays in responding to sudden spikes in global oil prices.
Under the proposal, the suspension would take effect once the average Dubai crude oil price reaches or exceeds $80 per barrel for one month immediately preceding the issuance of a suspension or reduction order.
The senator noted that he earlier filed a similar measure or Senate Bill No. 5 to institutionalize such a mechanism, citing the extreme volatility of fuel prices in the past years. In 2024, pump prices peaked at over ₱70 per liter.
“Ganito na naman po ang nararanasan natin ngayon sa gitna ng lumalalang tensyon sa Middle East. It is time to plan ahead. Lagyan na po natin ng permanenteng mekanismo ang batas para sa mga ganitong pagkakataon.”
“Let us provide a safety net that deploys automatically, without the need for lengthy debates while the people suffer and wait for solutions,” he said.
