President Marcos seeks fast-tracked law allowing excise tax cuts amid global oil volatility

President Ferdinand Marcos Jr. certified as urgent a bill authorizing the president to suspend or reduce excise taxes on petroleum products during national or global economic emergencies.

In a letter dated March 12 to House Speaker Faustino Dy III, Marcos said the immediate approval of House Bill No. 8418 is needed to allow the government to react swiftly to unpredictable swings in global fuel prices.

The bill aims to empower the President to adjust excise taxes on petroleum products during severe economic disruptions. According to the certification, the law is designed to help stabilize domestic fuel costs and give the government flexibility to respond to rapid changes in the global oil market.

Under the Constitution, presidential certification lets Congress bypass the usual three-reading rule for bills, allowing lawmakers to expedite urgent legislation.

This move follows the administration’s prior push for emergency powers in response to rising global oil prices, which tensions in the Middle East have affected.

“I will declare it as urgent because there's no point declaring it as urgent before the committee report has been completed,” Marcos said.

He added, “The minute that you have completed your committee reports… that’s when the declaration of the bill as urgent really goes into effect.”

Marcos explained that the emergency powers are intended to give the executive branch the ability to act quickly if global fuel prices surge.

“It’s very, very simple. What we asked of the legislature is really very simple,” he said.

He also clarified the conditions for using the measure, saying that emergency powers would only be exercised if oil prices average $80 per barrel or higher for a month.

“When the price of oil… has breached $80 per barrel on average for a month, then the emergency powers can be exercised,” Marcos said.

The President emphasized that surpassing the price threshold does not automatically trigger the use of these powers.

-Paraluman News