With the P3 a liter price hike implemented by the oil firms last night, the 20th round for the year, the pump price of diesel is now four times more expensive than its price in July 2001 when Gloria Arroyo delivered her first State of the Nation Address (SONA), according to multi-sectoral alliance Bagong Alyansang Makabayan (Bayan).
That said month, diesel averaged around P14.50 per liter, Bayan revealed. Today, a week before she delivers her eighth SONA, the pump price of diesel has already jumped to about P58.94 per liter or a 306% increase from its level in July 2001.
This clearly belies Malacañang’s claim of better life for Filipinos under the Arroyo government, a recurring theme that is expected to be further hyped by the regime towards Arroyo’s SONA on July 28.
For ordinary jeepney drivers, for instance, they only spent P435 per daily trip on diesel when Arroyo had her first SONA, in which she vowed to monitor oil price hikes. Now, jeepney drivers need to shell out more than P1,768 just to pay for diesel. Of the said amount, more than P212 will go directly to the Arroyo government as 12% value added tax (VAT), a tax that was not being imposed on petroleum products until November 2005.
The same thing is true for other ordinary income earners who rely on fuel products for their livelihood. Fishers who use regular gasoline for their motorized bancas now spend as much as P578 per fishing trip, of which P69 go to VAT. In July 2001, they only spend P172 per fishing trip.
Escalating fuel prices have contributed to sharp increases in the overall cost of living because of its domino effect on the prices of other goods and services. When Arroyo first took office, the daily cost of living for an ordinary family in Metro Manila was P509. Today, it has already jumped to about P858.
Kontra-KulimVAT, a campaign launched by Bayan to remove the VAT on oil and power, has earlier estimated that around 1.2 million Filipinos will be added to the number of poor if current oil price trends persist until yearend.
Bayan said that Arroyo and her spin masters may aggressively defend the VAT and highlight the supposed gains that ordinary people get from it. But the hard realities on the ground being felt by the people everyday due to runaway fuel prices and aggravated by the oppressive VAT will easily discredit this empty government propaganda.
This clearly belies Malacañang’s claim of better life for Filipinos under the Arroyo government, a recurring theme that is expected to be further hyped by the regime towards Arroyo’s SONA on July 28.
For ordinary jeepney drivers, for instance, they only spent P435 per daily trip on diesel when Arroyo had her first SONA, in which she vowed to monitor oil price hikes. Now, jeepney drivers need to shell out more than P1,768 just to pay for diesel. Of the said amount, more than P212 will go directly to the Arroyo government as 12% value added tax (VAT), a tax that was not being imposed on petroleum products until November 2005.
The same thing is true for other ordinary income earners who rely on fuel products for their livelihood. Fishers who use regular gasoline for their motorized bancas now spend as much as P578 per fishing trip, of which P69 go to VAT. In July 2001, they only spend P172 per fishing trip.
Escalating fuel prices have contributed to sharp increases in the overall cost of living because of its domino effect on the prices of other goods and services. When Arroyo first took office, the daily cost of living for an ordinary family in Metro Manila was P509. Today, it has already jumped to about P858.
Kontra-KulimVAT, a campaign launched by Bayan to remove the VAT on oil and power, has earlier estimated that around 1.2 million Filipinos will be added to the number of poor if current oil price trends persist until yearend.
Bayan said that Arroyo and her spin masters may aggressively defend the VAT and highlight the supposed gains that ordinary people get from it. But the hard realities on the ground being felt by the people everyday due to runaway fuel prices and aggravated by the oppressive VAT will easily discredit this empty government propaganda.
-------
www.bayan.ph
