Another big-time oil price hike takes effect today, June 7. Gasoline prices went up by P2.70 per liter, P6.55 for diesel, and P5.45 for kerosene. According to the Department of Energy (DOE), one of the reasons for the increase in oil prices is the start of increasing demand brought by the summer peak period in the northern hemisphere nations, as well as the European Union’s ban on Russian oil imports.
After more than 10 consecutive oil price hikes this year alone, various youth and labor unions continue to protest against the massive increase. The joined forces of Pinagkaisang Samahan ng mga Tsuper at Opereytor Nationwide (Piston), League of Filipino Students, Kilusang Mayo Uno (KMU), and Kadamay protested in front of the Land Transportation Franchising and Regulatory Board Office condemning the recent surge in petroleum prices.
KMU Secretary General Jerome Adonis emphasized that there is a “domino effect” caused by the oil price hike to the rest of the sectors in the country and in the economy. He also noted that this inflation will decrease the daily earnings of public transport drivers.
Inflation rate for the month of May this year has soared up to 5.4%, a huge increase from 4.9% last April. This trickled down on basic necessities, such as food products, and caused a decline in the worsening living conditions of Filipinos. Various sectoral groups cite neoliberal economic policies and consecutive oil price hikes in augmenting the increase in price levels.
“Ang ibig sabihin po nito ay panibagong pasanin at panibagong pahirap hindi lamang sa mga tsuper kundi panibagong pahirap sa buong mamamayang Pilipino,” stated Adonis.
Fisherfolk have likewise raised constant condemnation on the rampant hikes of oil prices. They underscore that the majority of their meager earnings are used in purchasing fuel. This comes alongside the decline in their profits due to an influx of fish imports.
Mody Floranda, Piston national president, also supported the call for a rollback and suspension of fuel excise taxes. According to him, the government does not only draw its budget from the taxes of petroleum products.
“Maraming mga dambuhalang negosyante ang hindi nagbabayad sa ating gobyerno,” he stated.
Thinktank IBON Foundation has proposed a billionaire tax, which director Sonny Africa has stressed to be minimal compared to the country’s richests’ net worth as of today.
“We’ve been pushing billionaire tax talaga. ‘Yung proposed namin sa IBON, it’s so cheap. It’s 1% over P1 billion, 2% over P2 billion, 3% over P3 billion. It’s nothing. The richest Filipino now has P330 billion. After the billionaire tax, may P310 billion pa siya,” Africa stated.The average inflation stands at 4.1% year-to-date.
Gasoline and diesel inflation shot up to 47.2% and 86. 2% respectively.
So far, the government has implemented targeted fuel subsidies and enabled more meat and cereal imports. However, these are short-term solutions to big problems.
Presumptive president and dictator’s son, Ferdinand “Bongbong” Marcos Jr., supports the collection of excise taxes as he stated in a forum last March after he supposedly affirmed the need to suspend them.
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“So my approach would be to continue to collect the excise tax but provide an oil subsidy so that anybody who is using oil-related products which is basically everybody, [so that everybody] will feel the effect, not only yung nasa listahan,” Marcos said.
This is debunked by critics, and cited his family’s debt worth P203 billion to contribute largely in alleviating the Filipinos’ burden in paying off the Duterte administration’s P12.8 trillion national debt.
However, the Department of Finance (DOF) has proposed alternative measures in taxing other products and services to generate billions in paying said national debt. Among these include digital services, single-use plastics, cryptocurrencies, and motorcycles.
Anakpawis, together with other labor and transport groups, have been proposing the suspension of excise taxes after the incessant oil price hikes. Casilao noted that in March, jeepney drivers suffered additional fuel costs monthly from P8,000 to P20,000. Farmers also suffered additional costs for land preparation and irrigation of more than P8,000, while fisherfolk for 16-fishing day month of P3,800.
“May krisis sa presyo ng produktong langis at apektado ang buong sambayanan, pero si Duterte, patuloy pa rin ang pagpataw ng excise tax sa mga ito, at hindi pa rin pinakikinggan ang malawakang panawagan para suspendihin ito, Anakpawis Party-list National President, Ariel Casilao, stated in a press statement.
Anakpawis has also been continuously demanding the repeal of the Oil Deregulation law, together with the enactment of alternative bills filed by lawmakers under the Makabayan coalition.
Casilao called for collective action to suspend the excise taxes and the VAT.
As of June 7’s oil price hike, Anakpawis reported that the suspension of excise taxes and removal of VAT would incur a decrease in prices of gasoline to P57.84, diesel to P65.34, and kerosene to P70.35.
“Kung hindi tayo kikilos, idudulot nito ang papalalang kahirapan, kagutuman, at mismong pagbagsak ng buong ekonomiya,” Casilao concluded.
Featured image by Rodel Taton
