DAVAO CITY, Philippines – Dabawenyos are bracing for the impact on the local economy as fuel price hikes have taken effect this week due to the continuing war involving the United States, Israel and Iran.
Oil companies increased prices for gasoline, diesel and kerosene, ranging from ?9 to ?24 per liter, implemented on staggered dates this week, as the Department of Energy explained the volatility of the oil price due to the conflict and the anticipated shortage of oil supplies.
For ordinary Dabawenyos who rely on work that provides irregular daily income, the increase is expected to significantly affect their earnings.
One of those affected is 57-year old jeepney driver Mario Lamiangino, who worries how the added fuel costs will mean higher prices of goods. He raises concern as he is supporting his family of six, where all his four children are still in school.
“Ambot unsaon ni kay kung mutaas ang gasolina ang sunod gyud ana kay musaka baya dayon pud ang presyo sa mga palaliton. Unya bago ra pud baya nagsaka ang bayad sa kuryente ug sa tubig. Patay mi ani, asa man namo kuhaon ni nga muna muna ra man sab ang akong income perti pang trapika, di ka kapamasahero og tarong. Mag-unsa man mi ani? (I don’t know what will happen if gasoline prices shoot up, because what comes after is the increase in prices of goods. Take not electricity and water rates had gone up. We’re dead, where do we find the money because I’m struggle with my income amidst this traffic, it’s affecting my ride)” Lamiangino told Davao Today.
Nancy Angtas, 48, shares the same concern, worrying how the price hike will push up food prices in the market and affect her small carinderia, where customers are students and workers who live in her neighborhood.
“Actually, affected gyud pud mi ani. kay kung musaka ang gasolina sure gyud na musaka pud ang per kilo sa isda, karne, mga ingredients. Syempre kung mumahal ang ingredients pasakaan sab nako gamay ang presyo sa sud-an or gamayan na lang gyud ang servings kay para lang gyud maafford pa sa mga taga dire, (We are greatly affected, when the fuel price increases, so do prices of fish, meat and other ingredients. When ingredients turn more expensive, we have to raise the prices of our meals a bit, or we offer lesser servings which the customers can afford),” she said.
LGU adjustments
The Marcos Jr. administration has set price monitoring of oil companies and is on the lookout on profiteering. While it is considering removing excise taxes on oil to lower the prices, It has yet to announce if it has contingencies to help the poor.
In the city, first district Councilor Ragde Niño Ibuyan, chair of the Committee on Government Enterprises and Privatization, said the city government will ensure active monitoring of the prices of basic goods in public markets, as hoarding can be a possible result of price manipulation.
“One thing we can do also is close collaboration with our vendors and our markets to see really (if we can manage) price increase… but hopefully (that will not happen),” Ibuyan said.
The president has also ordered a four-day-a-week work scheme for all government agencies, which the Davao City Government is adapting.
Councilor Melchor Quitain Jr. told media that the city government will continue to balance their workload and services through this setup.
Scrapping oil taxes
The progressive group Bagong Alyansang Makabayan Southern Mindanao has proposed that the government should scrap the excise tax and the 12% value-added tax (VAT) on fuel price as an immediate solution to lower fuel costs, which would mean consumers can have more money saved for consumption.
“Angayan sab nga mogahin og igong subsidyo ug magpatuman og uban pang porma sa safety nets o suporta alang sa sektor sa transportasyon nga maoy labing igo sa oil price hikes, (They should also provide subsidies and provide safety nets or support to the transport sector which will be affected by these oil price hikes),” said Rauf Sissay, BAYAN-SMR secretariat.
Despite the phaseout of public jeepneys, thousands of units are still plying their routes in the city, providing transportation to hundreds and thousands of commuters. The city and national government’s free bus ride systems only operate on scheduled peak hours of the day.
Sissay said the government should also consider the junking of the Oil Deregulation Law to control and regulate oil prices in the country. (davaotoday.com)
