A MULTI-SECTORAL environmental organization said on Friday that it would back the Duterte administration’s plan to impose higher excise tax on dirty fuels and cars.
Dr. Leo Olarte, president of Clean Air Philippines Movement Inc., said over 80 percent of the air pollution in Metro Manila are caused by the emission of motor vehicles, and that an excise tax hike would be a proactive measure to reduce pollution.
“We, at the Clean Air Philippines Movement Inc., strongly supports the initiative of the Duterte administration to impose higher excise tax on dirty fuels and motor vehicles, and to give more incentives to cleaner fuels and transportation technologies to help curb the deadly effects of air pollution to the health and lives of Filipinos. More than 80 percent of air pollution in Metro Manila comes from unabated emissions of motor vehicles that result in respiratory and cardiovascular diseases, such as heart attack, stroke and sudden death,” he said.
Citing the Department of Environment and Natural Resources emission inventory for the National Capital Region, Olarte said mobile sources (motor vehicles) in 2012 account for 90 percent of the aggregated discharged amounts of air pollutants in the region. “We call upon our countrymen to rally behind our move to impose carbon or environmental tax on dirty fuels and smoke belching motor vehicles in the country. The clear and present danger of air pollution from motor vehicles excuses no one. As long as you live in a city with polluted air to breathe you become automatically a victim of deadly air pollution,” he said.
Olarte is a former president of the Philippine Medical Association and now the vice president of the Philippine Hospital Association.
Olarte, along with the other representatives of the Clean Air Philippines Movement Inc., took part in the recent Senate hearing on automobile excise, led by Senator Juan Edgardo “Sonny” Angara’s committee on ways and means.
According to the group, even Finance Undersecretary Karl Kendrick Chua backed the added excise tax on fuels and cars as part of Duterte’s comprehensive tax reform program to lower the high incidence of poverty and inequality.
As this developed, Senator Sonny Angara said that the government should hasten its projects to improve the country’s public transport system so that Filipinos will have a viable transportation option amid proposals to increase excise taxes on oil and automobiles.
“The government wants to reduce the number of vehicles on the road to address traffic congestion so they will increase taxes on vehicles. They would also raise taxes on gasoline that might result to increase in fare,” he said.
“I think raising the auto excise is a good strategy but the government should provide the public an efficient, dependable, safe and affordable public transport system to encourage the people to take mass transit rather than use their own cars,” added Angara, chairman of the ways and means committee.
To offset the increase in excise taxes on oil, the government plans to put in place a “pantawid pasada” program which aims to provide cash cards to public utility vehicles (PUVs), and a public transport modernization program which aims to provide subsidies to PUVs to convert to more efficient engines and bodies.
However, during last week’s hearing, transport groups have warned that despite such programs, the proposed oil tax hike could result to an increase in jeepney fares from the current P8 to P10.
“Tayo po ay nakikinig sa ating transport at commuter groups na talagang tatamaan dito. We have to ensure that proper safety nets are in place to exclude the PUVs from the tax hike so fares need not increase,” Angara said.
Meanwhile, with the proposed adjustment of excise tax on automobiles, mass-market vehicles such as the base model Toyota Vios would increase by P10,000, Mitsubishi Mirage by P13,000, Toyota Innova by P43,000, while SUVs such as Toyota Land Cruiser will increase by as much as P950,000.
“The Lower House was able to temper down the original proposal of the Finance Department to ensure that most cars, especially low-end models, will remain affordable. To free up road space, we will look into imposing higher taxes doon sa pangatlo o pang-apat na sasakyan na bibilhin nila through the motorvehicle user’s charge (MVUC),” the senator said.
Apart from jeepney modernization, Transportation Assistant Secretary Mark De Leon said the DOTr is set to expand P2P bus services and open new routes to improve public transport system in the country.
“I am one with the goal of making public transport the preferred mode of travel. Pero sana madaliin dinang pag-ayos ng MRT at LRT to help migrate the ones bringing cars to public transport,” Angara said.
