Cebu City Councilor Renato Osmeña, Jr., chairperson for the committee on market, airs his concern on the economic impact of the rise of fuel due to the Russia-Ukraine conflict. | CDN Digital file photo
CEBU CITY, Philippines — The Cebu City Council is urging President Rodrigo Duterte to suspend or reduce oil taxes, value added taxes, and extended value added taxes, amid the growing economic crisis brought by the rising price of fuel.
Councilor Renato Osmeña Jr., chairperson for the committee on market, delivered a privilege speech during the regular council session this week airing his concern on the economic impact of the rise of the price of fuel.
The rising cost of fuel is attributed to the tensions between Russia and Ukraine disrupting the global market.
He notes that the gasoline has increased by 31.3 percent, diesel has increased by 44.1 percent, and kerosine has increased 34.2 percent as compared to last year.
Oil companies have announced on March 7, 2022, an increase of P5.85 per liter of diesel and P3.60 per liter of gasoline, implemented the next day.
The market expects an increase of up to P3 for these commodities in the coming days.
Osmeña said that the pump price at a gasoline station is currently at P76.46 per liter of gasoline and P66.60 per liter of diesel.
“We are in another crisis…the domino effect of this staggering fuel increases is going to be unimaginable, catastrophic, affecting the basic commodities,” said the councilor.
With this, the council has agreed to recommend to the Office of the President to conduct economic measures such as reducing or suspending the oil tax including the excise tax.
“We dont have control over the prices, but we can look into the taxes on oil. Resolved further to appeal to the president to waive or slash the excise tax of oil and other oil products,” said Osmeña.
Council members are also calling Mayor Michael Rama to hold an economic conference with them and stakeholders to discuss the situation so that the city government may adapt mitigating measures against the crisis.
Osmeña urged the national government to provide financial assistance or cash subsidies to affected sectors under Bayanihan Act so they would be able to survive the crisis.
Finally, he urged the executive department to monitor the prices of commodities and ensure that there would be no overpricing or market manipulation by opportunistic entities.
He urged the city residents to be vigilant and to be mindful of the economic situation in order to safely get pass through it.
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