ILOILO City — Malacañang has opened the door to a potential review of the Oil Deregulation Law as public pressure mounts over rising fuel prices, stressing that any move must undergo rigorous study to avoid unintended economic consequences.
During a recent press briefing at the RDC Hall of the Department of Economy, Planning, and Development (DEPDev) Regional Office 6 here, Palace Press Officer Undersecretary Claire Castro said “nothing is off the table” as transport groups and protesters push for sweeping reforms.
“With regard to the Oil Deregulation Law, all suggestions are welcome. Nothing is off the table,” Castro said.
However, she stressed that repealing the law is a legislative decision and must be handled with caution.
“It would be better if this is carefully studied, especially by lawmakers, because repealing the Oil Deregulation Law is in the hands of Congress. We have to examine its effects on stakeholders, on the country, and on our people,” she explained.
Castro underscored that policy changes must ultimately benefit the public and not destabilize the economy.
“If there will be a repeal of a law, it should be for the greater good and the welfare of all. If it will also bring negative effects to the oil industry, then it may not be good for the country,” she said.
The statement comes as protest groups call for immediate relief measures, including a rollback of fuel prices to P55 per liter, the suspension of excise and value-added taxes on petroleum products, and improved wages and fares for transport workers.
On the issue of excise taxes, Castro clarified that the government is not considering a blanket suspension on fuel at this time.
“At present, the suspension of excise tax on fuel is not being recommended,” she said.
Instead, the administration is studying a more targeted approach focused on essential household fuels.
“The recommendation is only for the suspension of excise tax on LPG and kerosene,” Castro said.
She also cautioned that cutting excise taxes may not automatically lead to lower pump prices.
“There is a possibility that even if excise tax is reduced, it might just be absorbed by premiums or insurance costs imposed by oil companies, which could still burden consumers,” Castro said.
Castro said the government is balancing calls for immediate relief with the need to protect broader economic stability as discussions on fuel policy continue./PN
