Fuel Crisis Immediate Relief and Response Act

Senate Office of the Scretary TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES ) First Regular Session ) APR -8 P4:18 SENATE S. B. NO. 2033 INTRODUCED BY SENATOR CHRISTOPHER LAWRENCE "BONG" T. GO AN ACT PROVIDING FOR FUEL CRISIS IMMEDIATE RELIEF AND RESPONSE MEASURES EXPLANATORY NOTE The ongoing tensions and armed hostilities in the Middle East, particularly involving major oil-producing nations, has significantly disrupted global energy markets. Conflicts in the region, especially involving Iran, Israel, and key oil transit routes such as the Strait of Hormuz, have led to interruptions in oil supply, causing unstable markets and driving global fuel prices upward. Recent data indicates that global crude prices have surged past $115 per barrel. As a net oil importing country, the Philippines is severely exposed to these external shocks, resulting in increased transportation costs, higher prices of basic goods, and diminished purchasing power among Filipino households. This situation disproportionately affects low and middle-income families, small businesses, and essential sectors such as transport and manufacturing, heightening the risk of economic strain across the country. In view of the crisis brought about by the conflict in the Middle East, this measure seeks to establish mechanisms to provide assistance, subsidies, and other forms of socioeconomic relief to the Filipino people, especially those most affected. The bill proposes key interventions to ease financial burdens, including the temporary deferment of contributions to the Philippine Health Insurance Corporation, Home Development Mutual Fund, Government Service Insurance System, and Social Security

System, alongside a thirty-day grace period for government loans without interest or penalties. It also directs the Department of Trade and Industry to strictly enforce laws against hoarding, profiteering, and price manipulation. The bill further provides support for repatriated overseas Filipino workers through reintegration programs, expands access to credit for MSMEs and affected sectors, and grants subsidies to businesses and the transport sector, including the implementation of a Libreng Sakay Program. It authorizes alternative work arrangements, allows temporary price controls on basic necessities, and mandates a thirty-day grace period for utility payments without penalties, with unpaid bills payable on a staggered basis in accordance with regulatory guidelines. In view of the foregoing, the passage of this measure is earnestly sought. SENATOR CHRISTOPHER/LAWRENCE "BONG" T. GO

Senate Offior of the Saccretary TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES ) First Regular Session ) APR -8 P4:18 SENATE S. B. NO. 2033 INTRODUCED BY SENATOR CHRISTOPHER LAWRENCE "BONG" T. GO AN ACT PROVIDING FOR FUEL CRISIS IMMEDIATE RELIEF AND RESPONSE MEASURES Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

Section 1. Short Title. - This Act shall be known and cited as "Fuel Crisis

2 Immediate Relief and Response Act."

SEC 2. Declaration of Policy. - It is hereby declared the policy of the State

to promote a just and dynamic social order that will ensure the well-being of its people, particularly amidst crises. Towards this end, and in cognizance of the crisis brought about by the Middle East conflict, which has affected global oil prices, the State shall 8 establish mechanisms to provide assistance, subsidies, and other forms of 9 socioeconomic relief to its people, especially those who are most affected by the crisis.

SEC 3. Fuel Crisis Immediate Relief and Recovery Interventions. - The

following shall be undertaken and implemented by the State as fuel crisis relief and response interventions: (a) The Philippine Health Insurance Corporation (PhilHealth) shall defer the collection of premium contributions of direct contributors as prescribed under Republic Act (RA) No. 11223 or the "Universal Health Care Act" for a period of two (2) months: Provided, That the payment of the deferred contribution shall be settled on a staggered basis payable in three (3) monthly installments;

1 (b) The Home Development Mutual Fund (Pag-IBIG Fund) shall defer the collection of contributions as prescribed under RA 9679 or the "Home Development Mutual Fund Act" for a period of two (2) months: Provided, That the payment of the deferred contribution shall be settled on a staggered basis payable in three (3) monthly installments; (c) The Government Service Insurance System (GSIS) shall defer the collection of contributions as prescribed under RA 8291 or the "Government Service Insurance System Act" for a period of two (2) months: Provided, That the payment of the deferred contribution shall be settled on a staggered basis payable in three (3) monthly installments; 11 (d) The Social Security System (SSS) shall defer the collection of contributions as prescribed under RA 11199 or the "Social Security Act" for a period of two (2) months: Provided, That the payment of the deferred contribution shall be settled on a staggered basis payable in three (3) monthly installments; (e) The GSIS, the SSS, the Pag-IBIG Fund, and other government agencies extending loans shall implement a thirty (30)-day grace period to be granted for the payment of all existing, current and outstanding loans without incurring interest, penalties, and other charges: Provided, That after the grace period, loans may be settled on a staggered basis payable in three (3) monthly installments; (f) The Department of Trade and Industry (DTI) shall enforce measures to protect the people from hoarding, profiteering, injurious speculations, manipulation of prices, product deceptions, and cartels, monopolies or other combinations in restraint of trade, or other detrimental practices affecting the supply, distribution and movement of basic goods and essential services; (g) The government shall ensure access to livelihood assistance, skills and training programs, loan assistance, and employment opportunities for repatriated and returning OFWs to ensure proper reintegration; The government shall ensure the availability of credit to the productive sectors of the economy through measures such as, but not limited to, lowering the effective lending rates of interest and reserve requirements of lending institutions;

(i) The government shall expand loan programs for Micro, Small and Medium Enterprises (MSMEs), cooperatives, agricultural workers and OFWs through a combination of increasing available loanable funds, reducing documentary requirements, increasing maximum loan amounts per borrower, reducing interest rates, extending loan terms, utilizing financial technologies to expand reach and increase access, and setting fast turn-around loan processing times; (i) The government shall provide loan interest rate subsidies for critically impacted businesses: Provided, That the terms of the loan shall be more reasonable than the prevailing market; (k) The government shall provide grants for fuel subsidy and fuel discount to public utility operators, drivers, essential transport workers assisting passengers, agricultural workers, as may be determined under guidelines to be issued by the appropriate agencies; (I) The government shall implement a Libreng Sakay Program to provide free rides to commuters in priority routes. Participating drivers and operators shall be provided just and timely compensation through fuel subsidies, service contracting, or other appropriate financial assistance; and (m) The government shall authorize and implement alternative working arrangements for employees and workers in the public sector, and whenever it becomes necessary, in the private sector.

SEC 4. Price Control and Other Relief Measures. - Temporary price

23 control measures on basic necessities, as defined under Republic Act No. 7581, or the "Price Act", are hereby mandated during periods of significant fuel price increases or national energy emergencies. For purposes of this Act, and notwithstanding the provisions of Republic Act No. 7581, basic necessities shall include petroleum products, liquefied petroleum gas (LPG), kerosene, residential and commercial rents, medicines and other goods and services indispensable to daily subsistence and economic activity: Provided, That the government shall, in accordance with applicable budgeting, accounting, and auditing rules, provide reasonable compensation, or other forms of financial relief to affected oil companies and other regulated entities to mitigate undue economic losses arising from the implementation of such price control measures.

The appropriate implementing agencies shall enforce such price control 3 measures in accordance with existing laws and regulations. In the exercise of the State's police power and in the interest of public welfare, all institutions providing electric, water, telecommunications, and other similar utilities shall implement a minimum of thirty (30)-day grace period for the payment of 8 residential, MSMEs' and cooperatives' utility bills without incurring interest, penalties, and other charges: Provided, That after the grace period, unpaid residential, MSMEs' and cooperatives utility bills may be settled on a staggered basis payable in three (3) 11 monthly installments, subject to the procedural requirements of the concerned 12 regulatory agencies in the imposition of such installment plan without interest, 13 penalties, and other charges.

SEC 5. Appropriations. - The amount necessary for the implementation of

this Act shall be charged against the current year's General Appropriations Act.

SEC 6. Reportorial Requirement. - The Executive Branch shall submit a

19 weekly report to Congress of all acts performed pursuant to this Act.

SEC 7. Separability Clause. - If any provision of this Act or the application

of such provision to any person or circumstance is declared invalid, the remainder of this Act or the application of such provision to any other person or circumstances shall not be affected by such declaration.

SEC 8. Repealing Clause. - All laws, acts, decrees, executive orders,

issuances, and rules and regulations or parts thereof which are contrary to and inconsistent with this Act are hereby repealed, amended or modified accordingly.

SEC 9. Effectivity. - This Act shall take effect immediately upon its publication

in a newspaper of general circulation or in the Official Gazette. The provisions of this

1 Act shall remain in force and effect for a period of three (3) months from its effectivity, 2 unless extended by Congress. Approved,