Oil prices surge as war escalates in Middle East; Cong. Yap pushes fuel tax suspension

La Trinidad, Benguet – Amid rising petroleum prices in the country triggered by the ongoing conflict in the Middle East, Benguet Representative Eric Go Yap is seeking the temporary suspension of excise taxes on fuel to ease the burden on Filipinos.

Tensions in the Middle East escalated following military exchanges involving the United States, Israel, and Iran, disrupting oil supply routes in the region.

Reports said the Strait of Hormuz—a narrow but critical passage between Iran and Oman where about 20 percent of the world’s oil shipments pass—was effectively closed due to the conflict.

This has caused a surge in global petroleum prices, which is now affecting countries such as the Philippines.

As of March 4, the country is experiencing price hikes of as much as P11.80 per liter for diesel, P10.00 per liter for kerosene, and P6.00 per liter for gasoline.

To help ease the burden on consumers, Congressman Yap reportedly filed a House Joint Resolution at the House of Representatives on March 3.

In the resolution, Yap urged President Ferdinand “Bongbong” Marcos Jr. to immediately suspend the excise tax on petroleum products under Republic Act No. 10963, or the Tax Reform for Acceleration and Inclusion (TRAIN) Law.

The solon cited that Benguet farmers—who “supply 80 percent of the country’s highland vegetables”—are already feeling the impact, as higher fuel prices translate to higher transportation costs for agricultural products.

“This is no longer a question of if petroleum prices will rise; it is a matter of when and how we can cope. We call for the immediate suspension of the excise taxes on gasoline, diesel, and other petroleum products by granting temporary emergency powers to the President to do so,” Yap said in Congress, as quoted by a national media outlet.

As of this writing, Congress has yet to schedule deliberations on Yap’s proposed measure.

If approved, the excise tax will no longer be added to the price per liter of fuel, which could lower pump prices and reduce the cost paid by consumers.