Philippines urged to cut ASEAN hosting budget to P10B amid fuel crisis

Batangas Representative Leandro Leviste has called on President Ferdinand Marcos, Jr. to reduce the budget for the country’s hosting of the Association of Southeast Asian Nation (ASEAN) Summit and other related meetings this year from P22 billion to P10 billion.

Leviste said the P12 billion savings would be better spent on programs that would ease the public’s burden amid soaring fuel prices.

The lawmaker made the call under his House Resolution 911, saying that any savings from the ASEAN budget “could be used to strengthen and expand the government’s response to rising fuel prices while also setting an example of fiscal discipline for other government agencies.”

He said the country was able to use only around P8.5 billion out of its P16.74 billion budget for its ASEAN Summit hosting in 2017.

“The resolution recognizes the importance of hosting Asean in terms of diplomacy, tourism, trade, investment, and energy security, and therefore does not call for canceling the summit, but for hosting it in a more cost-efficient manner,” Leviste said in a statement.

“Hosting the Asean summit is a significant opportunity for the Philippines, including in terms of diplomacy, tourism, trade, investment, and energy security, and would thus be beneficial for the Philippines in light of recent events,” he added.

Fuel prices have breached P100 per liter this week, and are expected to continue rising amid a lingering war in the Middle East triggered by a joint US-Israel offensive against Iran dubbed Operation Epic Fury.

Operation Epic Fury was supposedly launched to deter Iran’s missile program, which threatens the region’s security.

This operation has since killed Iranian leaders and prompted Iran to retaliate by launching airstrikes targeting US bases, among others, located in Middle Eastern countries where the Philippines sources 98% of its crude oil supply.

President Marcos Jr. declared a state of national energy emergency two days ago and has since signed a law authorizing him to suspend and reduce excise tax on fuel for three months at most.

Further, the government has also begun distributing cash aid to the public transport sector, hugely impacted by the skyrocketing oil prices. —LDF, GMA Integrated News