NEDA proposes over P6-B fuel aid for drivers, farmers

The National Economic and Development Authority (NEDA) proposed increasing the fuel subsidy and discount vouchers for public transport drivers and farmers to more than P6 billion to mitigate the effects of rising oil prices due to the Russia-Ukraine conflict.

The fuel subsidy for public utility vehicles (PUVs) is planned to be increased from P2.5 billion to P5 billion, with distribution in two tranches.

The fuel voucher budget for agricultural producers is also set to be increased from P500 million to P1.1 billion.

To enhance energy security, NEDA called for a law to increase the country's oil buffer stock from 30 to 45 days.

Economic managers also recommended shifting the entire country to Alert Level 1 and reopening schools for face-to-face classes to stimulate the domestic economy.

Other proposed interventions include promoting e-vehicles, expanding access to charging stations, promoting bicycle use, energy conservation, and continuing to work with private firms for promotional discounts.

NEDA stated that congressional action is required for the suspension of excise taxes on oil, but Congress is currently on break for the campaign period.