Consumer advocates push for tax relief as power costs climb
- March 16, 2026
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A consumer advocacy group is urging the government to roll out immediate relief measures, including suspending fuel taxes, as rising global oil prices threaten to drive electricity costs higher for Philippine consumers.
ILAW Pilipinas on Monday called on policymakers to act quickly to cushion households and businesses from mounting energy costs, warning that the country’s heavy dependence on imported fuel leaves electricity prices highly exposed to global conflicts and supply disruptions.
The appeal comes as the Department of Energy projects electricity rates could rise by as much as 16% in the coming months, largely driven by higher global fuel prices linked to escalating tensions between the United States and Iran.
“A potential increase in electricity prices shows how quickly international conflicts can translate into higher costs for households and small businesses,” said ILAW Pilipinas Youth Convenor Francine Pradez in an official statement. “Young Filipinos are inheriting an energy system that remains highly vulnerable to global shocks.”
ILAW said the expected spike in power costs could add to the financial pressure on consumers already grappling with rising prices of goods and services, while also potentially feeding broader inflation.
Because energy and fuel are essential inputs across supply chains, sustained increases could raise production and transportation costs and eventually push up prices of basic commodities, the group said.
ILAW urged the national government to consider suspending or reducing taxes and tariffs on fuel and electricity to help soften the impact.
The group noted that the House of Representatives earlier approved on second reading a bill granting President Ferdinand Marcos Jr. special powers to temporarily suspend the oil excise tax.
While pressing for government intervention, ILAW also encouraged consumers to adopt energy-saving practices to help manage rising electricity bills.
“We call on our fellow Member Consumer Owners to use electricity wisely, conserve energy by unplugging unused appliances and doi electricity-dependent chores during off-peak hours,” said ILAW National Convenor Beng Garcia.
She added, “We hope to see NEA, ERC, DOE, and other concerned agencies tightening their belts and using their budgets more efficiently to serve Member Consumer Owners.”
ILAW said short-term relief measures must also be paired with long-term policies to strengthen the country’s energy security and reduce its vulnerability to volatile global fuel markets.
“While the government explores immediate measures to ease consumer burdens, such as a 4-day workweek, we should still push for an accelerated transition to more stable, locally available energy sources,” Pradez said.
She added that building a more resilient energy system is crucial to protecting consumers from future external shocks.
“Energy security is not just a policy issue; it is about protecting the future of Filipino families,” Pradez added.
What measures should be prioritized to protect consumers from rising power costs—tax relief, stronger domestic energy development, or both? Join the discussion.
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