MANILA — The House of Representatives on Wednesday approved on second reading a bill that would allow President Ferdinand “Bongbong” Marcos Jr. to temporarily suspend or reduce excise taxes on petroleum products during extraordinary situations that cause sharp fuel price increases.

The proposed measure, House Bill (HB) No. 8418, seeks to amend Section 148 of the National Internal Revenue Code of 1997 to give the President authority to adjust fuel excise taxes under specific conditions and within a limited period.

House Majority Leader and Ilocos Norte Rep. Ferdinand Alexander “Sandro” Marcos, one of the bill’s authors along with Speaker Faustino “Bojie” Dy III, said the proposal is meant to help the government respond quickly when global developments drive up fuel prices and affect the cost of goods and services.

“This bill gives the President a measured tool to cushion that shock, with clear triggers, clear limits and clear reporting when the prices of fuel and basic commodities get too high. Proteksyon ito sa mga mamamayan sa biglaang pagsirit ng presyo ng mga pangunahing bilihin,” Marcos stressed.

Lawmakers said the measure is part of efforts to prepare the government for sudden price spikes linked to international developments, including disruptions in global oil supply that could push domestic pump prices higher and increase the cost of basic commodities.

During plenary deliberations, Marikina Rep. Miro Quimbo, chairperson of the House Committee on Ways and Means, defended the bill and emphasized that the authority granted to the President would come with safeguards.

Under the proposal, the President may exercise the authority only upon the recommendation of the Development Budget Coordination Committee and in coordination with the Secretary of Energy.

The power may be used only if one of two conditions is present. The first trigger is when the Dubai crude oil price, based on the Mean of Platts Singapore, reaches or exceeds $80 per barrel for one month immediately before the issuance of an order suspending or reducing the tax.

The second trigger is when a state of national emergency or calamity has been declared and results in extraordinary increases in domestic fuel prices, as certified by the Secretary of Energy.

The bill allows the President to apply either a full suspension or a partial reduction of excise taxes on specific petroleum products, depending on the circumstances and the extent of relief needed.

However, the proposed authority would be subject to time limits. The suspension or reduction may last for up to six months, unless Congress decides earlier to extend or terminate the measure through a joint resolution. The total period cannot exceed one calendar year.

The measure also provides that the excise tax rates will automatically return once the extraordinary conditions end or after the authorized period lapses.

To ensure transparency, the bill requires the President, through the Secretary of Finance, to submit a report to both chambers of Congress within 15 days from issuing the order and every month thereafter. The report must outline the factual basis of the action, the estimated foregone revenues, and the expected impact on inflation, fuel prices and economic activity.

The measure also directs the Department of Finance, Department of Budget and Management, Department of Economy, Planning, and Development, Department of Energy, and the Bangko Sentral ng Pilipinas to issue implementing rules within 15 days from the law’s effectivity, in coordination with the Bureau of Internal Revenue and the Bureau of Customs.

Marcos said lawmakers moved the measure with urgency to ensure the government has policy tools ready to address sudden price shocks affecting Filipino households.

“Under Speaker Dy, we are moving with discipline and urgency because the costs that hit families do not wait for politics. Ang trabaho natin is to keep options ready, act when the triggers are met and make sure relief reaches people without delay,” Marcos said.

Several lawmakers signed on as co-authors of the measure, including Reps. Jefferson Khonghun, David “Jay-Jay” Suarez, Janette Garin, Kristine Singson-Meehan, Allan Ty, Claudine Diana Bautista-Lim, Salvador Pleyto, Jesus “Bong” Suntay, Ferdinand Martin G. Romualdez, Yedda Marie Romualdez, Andrew Julian Romualdez, Jude Acidre, Ryan Recto, Howard Guintu, Eduardo “Bro. Eddie” Villanueva, Lordan Suan, Adrian Salceda, Julienne “Jam” Baronda, Tobias “Toby” Tiangco, Eric Go Yap, Rufus Rodriguez, Stephen James Tan, Gerardo “Gerryboy” Espina Jr., Zaldy Villa, Ernesto Dionisio Jr., Rolando Valeriano, Joel Chua, Maria Cristina Angeles, Ramon Rodrigo Gutierrez, James “Jojo” Ang Jr. and Sergio Dagooc.