Group inquires on status of 10 percent tariff on petroleum products

FILE PHOTO: An employee prepares to load gasoline on a tricycle at a Phoenix Petroleum petrol station in Paranaque city, Metro Manila, Philippines October 31, 2016. REUTERS/Ezra Acayan/File Photo

Laban Konsyumer Inc. (LKI) is asking the Department of Energy (DOE) to clarify the status of the 10 percent additional import duty on crude oil and refined petroleum products after Republic Act No. 11469, also known as the Bayanihan to Heal as One Act, expired.

President Rodrigo Dutere signed Executive Order No. 113 in May, imposing an additional import duty of 10 percent on imported crude oil and refined petroleum products ‘on top of their existing Most Favored Nation and preferential import duties’.

EO No. 113 invoked RA 11469 which grants President Duterte with temporary emergency measures to respond to the crisis brought by the COVID-19 pandemic.

LKI president Victorio Dimagiba said on Tuesday, June 30, that the 10 percent additional import duty translates to a Php 1.45 – 1.65 increase in petroleum products.

Iyon kasing 10 percent tariff, ayon sa batas, co-terminus siya doon sa Bayanihan to Heal As One Act. Nag-expire na iyon noong June 25,” Dimagiba said during DZRH’s ACS Balita.

Kasi walang instruction, walang guidelines, walang information, hindi natin alam kung hanggang kailan tayo magbabayad ng dagdag buwis na iyan, ng 10 percent tariff,” the consumer group leader added.

Based on EO No. 113, the proceeds collected from the additional import duty will be used to fund measures that address and respond to the effects of the COVID-19 situation.

Dimagiba, however, said that the recent weekly reports of President Duterte to the Congress no longer include how much the government collects from the 10 percent additional import duty, and where the government spends the proceeds.

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