Oversight panel for monitoring

Meanwhile, the Senate committee on energy will form an oversight panel to monitor the implementation of the increased excise taxes on fuel to curb abuse by unscrupulous traders and help slow down the expected price increases of basic commodities, Sen. Sherwin Gatchalian said yesterday.

Gatchalian, chairman of the committee, said the oversight body will closely monitor the implementation of the TRAIN law, particularly the provisions on the imposition of excise taxes on petroleum products.

The TRAIN law imposes an excise tax of P2.50 per liter on diesel and bunker fuel starting this year, P4.50 in 2019 and P6 in 2020.

For gasoline, the excise tax will be increased from P4.35 per liter to P7 this year, P9 in 2019 and P10 in 2020.

“We will launch the oversight body, especially that the situation is critical now with the expected price increases,” Gatchalian told dzBB.

He said he sees the subpanel meeting regularly, as often as once a month.

The senator said the panel can get data from various agencies on the importations of oil companies to check their inventories as well as pricing.

Gatchalian said the projected increases in pump prices due to the new tax law should not kick in until next week as oil companies still have old inventories of fuel.

He also prodded the Departments of Finance (DOF) and Social Welfare and Development (DSWD) to immediately implement the P300 monthly subsidies for 10 million poor families to help cushion the impact of the TRAIN law.

Gatchalian said lawmakers agreed to increasing excise taxes on fuel on the condition that the DOF and DSWD will immediately implement the subsidy program.

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