Dutertenomics' tax-tax-tax implementation is off to bad
timing. Raising oil taxes on already high and rising global oil prices -- $64 a barrel for WTI, nearly $70 for Brent -- is insensitive. But
then again, even if the tax hike is P20 or P50/liter, the "money will go
to the poor" naman daw is always a convenient, hollow, cavalier and
opportunistic alibi.
"Diesel tax will increase from zero in 2017 to
P2.50/liter in 2018, P4.50 in 2019, and P6.00 in 2020. Gasoline tax will
increase from P4.35/liter in 2017 to P7 in 2018, P9 in 2019, and P10 in 2020.
Coal tax will increase from P10/ton in 2017 to P50 in 2018, P100 in 2019, P150
in 2020." http://bworldonline.com/top-eight-energy-news-2017/
"the DoF is often quoted as saying that “two million
richest Filipino families consume 50% of oil products in the country.” This is
one of the reasons why they pushed for high tax hike for oil products.
There are about 25 million Filipino families now. The DoF
refers to the richest 2 million families, so the other 23 million middle class
and poorer class Filipinos consume the other 50% of oil products.... I think
the DoF displayed dishonesty and deception in making that claim to further
justify the high oil tax hikes." http://bworldonline.com/energy-favoritism-train/
Among the lousy supporters of "more taxes for oil
please" and among the chief rah-rah cheerleaders of tax-tax-tax is the
Action for Economic Reforms (AER). See for instance,
"Excise taxes on fuel products will be justifiably
raised after 20 years of non-adjustment to inflation except for fuel that is
primarily used for air travel, which can only be maximized by those who have more
disposable income." http://bworldonline.com/public-interest-vested-interest/
Yes, poor farmers moving away from cow de carabao and
using oil-guzzling tractors, moving away from manual harvest to oil-guzzling
harvester-thresher combine machines should be penalized with higher oil taxes.
Fisherfolks moving away from banka de sagwan and using motorboats to increase
their fish harvest should be penalized with higher oil taxes. Great NGOs.
In one Senate comm. Hearing by Sen. Sonny Angara where I was also invited, the domestic shipping lines, airlines, bus lines,
truckers, etc were saying the same thing -- if govt will push the high oil
taxes, they will follow and obey the law but they will pass any price hike to
the public. So even vegetables, fish, chicken, rice, etc consumed by the poor
will experience price hikes. And DOF, AER, etc think this is fine and pro-poor
daw.
LPG, from zero to P3/kilo. So the 11 kg LPG tank will
experience P33/tank increase. The original DOF proposal was increase to
P10/kilo or P110/tank. Even carinderias will also increase their food prices,
or the less visible option -- serve smaller viand for the same price.
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See also:
Energy 103, The proposed Jamaica coalition in Germany -- before the collapse, November 25, 2017
Energy 104, Ric Barcelona on energy investment and subsidies, December 12, 2017
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