Akbayan to gov’t: Prepare for ₱2.5-B Fuel Subsidies, Expand Coverage to MSMEs in Food Sector

Akbayan Partylist First Nominee Atty. Chel Diokno on Monday called on the government to expedite the release of the ₱2.5 billion fuel subsidy allocated under the 2025 national budget as global crude oil prices continue to rise.

The subsidy is intended to assist public utility vehicle (PUV) drivers, taxi and tricycle operators, and ride-hailing service providers whenever crude oil prices exceed $80 per barrel for one month.

The appeal coincides with the Department of Energy’s announcement of an impending fuel price hike on Tuesday, with gasoline expected to increase by ₱1.35–₱1.60 per liter, diesel by ₱2.30–₱2.60 per liter, and kerosene by ₱2.30–₱2.50 per liter.

“The government must closely monitor these successive oil price hikes and ensure the efficient disbursement of the ₱2.5 billion fuel subsidies,” Diokno said. “Swift action will bring much-needed relief to those most affected by rising fuel prices, including transport workers and commuters.”

Under the 2025 budget, the subsidies will be triggered when Dubai crude oil prices hit $80 per barrel. Diokno warned that delays in releasing the funds would only worsen the burden on transport workers and the commuting public amid continued fuel price hikes.

Akbayan also urged the government to consider extending the subsidy program to include micro, small, and medium enterprises (MSMEs) engaged in food production. According to the Philippine Statistics Authority, nearly 191,000 MSMEs in the food and accommodation sector were recorded in 2023.

“In addition to expediting the release of subsidies, we encourage the government to expand coverage to small food-related businesses, including eateries, restaurants, carinderias, and street vendors,” Diokno said.

He emphasized that transportation and food preparation account for a significant portion of these businesses’ costs. “Providing fuel subsidies to these MSMEs will not only support small entrepreneurs but also benefit their customers by keeping food prices affordable,” Diokno added.

“Fuel prices affect everyone, but transport workers, small business owners, and ordinary consumers bear the brunt. The government must act swiftly and decisively to ensure these subsidies are ready to cushion the blow,” he concluded.