The Development Budget Coordination Committee (DBCC) is finalizing its recommendation on possible fuel excise tax relief as elevated global oil prices continue to push up domestic pump prices, Malacañang said Thursday.
Palace Press Officer Claire Castro said the issue was not discussed during Wednesday’s Economy and Development Council meeting, but the DBCC is separately completing its assessment.
“Nakausap po natin si (Budget) Secretary Kim de Leon at ito po ay kanilang ine-evaluate at for finalization. Kapag na-finalize na po ay ibibigay po agad nila ang recommendation sa Pangulo,” Castro said.
The review follows the Department of Energy’s certification that the one-month average price of Dubai crude rose to USD99.41 per barrel from Aug. 13 to Sept. 11, well above the USD80 threshold for considering temporary fuel excise tax relief.
Under Republic Act No. 12316, the President may partially reduce or fully suspend excise taxes on petroleum products for up to three months upon the DBCC’s recommendation, in coordination with the energy secretary.
The law gives the government room to respond when international oil prices surge, potentially easing the impact on motorists, transport operators, businesses, and households.
The government has yet to disclose whether the DBCC is considering a full suspension, a partial reduction, or another form of relief.
Castro earlier said President Ferdinand Marcos Jr. would act promptly once the DBCC submits its recommendation as the government weighs measures to cushion consumers from higher fuel costs.
Until then, the government is relying on targeted assistance under its Unified Package for Livelihoods, Industry, Food and Transport to support sectors particularly exposed to higher fuel prices.
The decision comes as elevated fuel costs threaten to filter beyond the pump, raising transport and logistics expenses and potentially adding pressure to prices across the economy.
For consumers, therefore, the pending DBCC recommendation is more than a tax question. It could determine how much of the latest oil-price shock is absorbed by the government and how much eventually finds its way into household and business budgets.
