WHEREAS, it is in line with the declared policy of the
Government to accelerate the economic and social development of the
country to provide for the construction and improvement of highways,
roads, bridges and other infrastructures;
WHEREAS, the estimated amounts that are expected to accrue
to the Highway Special Fund in the next fiscal years are grossly
inadequate to pursue the current program of highway improvement and
development;
WHEREAS, the tax on gasoline in the Philippines is one of
the lowest in the world, as revealed in a comparative study of the
gasoline tax in fifteen (15) countries/cities, as revealed by the
following statistics (based on April 1972 estimates):
The Cost of Gasoline in
Several Countries/Cities
Product Cost in Equipment
Showing the Tax Component and Centavos Per Liter
Among Non-Asian Countries/Cities
Tax Element
Product Cost
Adelaide, Australia
24.5
43.4
Dallas, U.S.A.
15.5
42.7
Naples, Italy
123.6
34.3
New York, U.S.A.
18.9
51.3
New Zealand
34.0
38.1
Oslo, Norway
95.1
39.0
Rotterdam, Netherlands
82.1
36.0
United Kingdom
77.3
37.8
Vienna, Austria
54.9
33.5
Washington, D.C., U.S.A.
18.9
44.5
Among Asian Countries
Bangkok
27.8
31.8
Hong Kong
42.4
37.8
Kuala Lumpur
60.8
36.4
Singapore
60.8
35.0
Tokyo
51.9
43.9
Manila
8.0 (14
as proposed)
22.0
WHEREAS, the current gasoline price in
Manila, as compared with those in progressive Asian cities, is also the
lowest, as shown below:
Price, Equivalent Centavos
per Liter
(as of October 1973, except
for Jakarta which is as
of March 1973)
Cities
Premium
Regular
Calcutta, India
133.5 c
128.9 c
Hong Kong
117.8
107.5
Jakarta, Indonesia
64.8
57.3
Sabah, Malaysia
144.5
130.2
Saigon, Vietnam
142.8
115.6
Sarawak
122.0
107.7
Singapore
145.2
135.6
Tokyo, Japan
166.6
143.5
Manila
39.0
33.0
WHEREAS, the tax on automotive diesel is
very low compared to the tax on gasoline and should be increased to make
its tax nearer that on gasoline since automotive diesel is also used
for motor purposes; and
WHEREAS, the increase in tax on gasoline,
lubricating oil and automotive diesel oil is consistent with the present
policy to conserve fuel;
NOW, THEREFORE, in order to effect the
desired changes and reforms in the economic, social and political
structure of our society, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers in me vested by the Constitution as
Commander-in-Chief of all the Armed Forces of the Philippines, and
pursuant to Proclamation 1081, dated September 21, 1972, and General
Order No. 1, dated September 22, 1972, do hereby order and decree the
following: