BUSINESS groups on Thursday said President Ferdinand Marcos Jr.’s declaration of a national energy emergency and suspension of fuel excise taxes need proper guidance and concrete steps to benefit the most affected sectors in the four-week-old war in Iran.
“For exporters, especially micro, small and medium enterprises, transport and logistics costs are a major component of overall expenses. Any relief on fuel costs will help preserve competitiveness in already volatile global markets,” Philippine Exporters Confederation Inc. (Philexport) President Sergio Ortiz-Luis Jr. said, but added, “We hope clear guidelines will soon be issued. Predictability is important so businesses can plan accordingly and pass on the benefits efficiently to consumers.”
Government must likewise extend support to other vulnerable sectors including agriculture and export-oriented industries, for instance, by waiving government share in port and toll fees, said Ortiz-Luis, who represents Philexport’s over 4,000 direct and indirect exporters, and export-related service companies.
The Financial Executives Institute of the Philippines (Finex) called for full transparency in emergency fuel procurement, following Marcos’ order for the release of a P20-billion diesel purchase program.
“In times of crisis, full disclosure of procurement terms, pricing benchmarks, safeguards against overpricing and post-audit mechanisms will reinforce public trust, protect fiscal integrity and strengthen institutional credibility,” Finex said.
The P20-billion fund is earmarked for buying diesel, gasoline and liquefied petroleum gas to boost the national fuel inventory, stabilize pump prices and ensure uninterrupted operations across transport, logistics, agriculture, emergency response and other critical sectors, said the Department of Budget and Management.
“Policy responses must protect energy security without weakening the productive sectors that sustain employment, household income and economic momentum. Administrative price caps and limits on business operations, unless balanced with equitable rules to support ensure revenues, risk undermining continuity, employment and compliance. Proposals without clear economic impact assessments can also weaken consumer demand, reduce income for hourly workers and slow overall momentum,” said Finex, whose membership consists of over 700 CEOs, CFOs, senior finance professionals, entrepreneurs and academics.
Assistance to affected sectors should be time-bound, data-driven and delivered through clear, rules-based mechanisms, Finex stressed.
Meanwhile, the American Chamber of Commerce of the Philippines (AmCham) said that “moving these measures forward collaboratively can reinforce investor confidence and demonstrate the Philippines’ commitment to a stable, forward-looking energy sector.”
AmCham has over 800 member companies, including multinational corporations, small/medium enterprises and individual entrepreneurs.
