A local chief executive on Tuesday said President Ferdinand R. Marcos Jr.’s Executive Order (EO) 41 suspending the collection of pass-through fees by local government units (LGUs) from vehicles transporting goods would pave the way for a more significant response of LGUs in helping address rising commodity prices.
“EO 41 encompasses all LGUs. It’s good as an initial step but also we want to hold dialogues so that we can pinpoint specific types of ordinances, charges and fees of LGUs that are being mentioned by sectors as a hindrance to their businesses,” Quirino province Governor and Union of Local Authorities of Philippines (ULAP) national president Dax Cua said in a Bagong Pilipinas Ngayon briefing.
Cua, however, said not all LGUs are charging pass-through fees and these do not have a “dramatic effect” on consumer prices even when implemented.
“There are annual stickers being mentioned by the DTI (Department of Trade and Industry), about PHP2,000 to PHP2,500 a year. That’s annual, not monthly or weekly. We also have that one, when you deliver to LGUs, according to Section 44 of the Local Government Code, LGUs may impose or provinces may impose a fee of PHP500 but that is only PHP500 annually. It’s not that big if we look at it. This is why we would like to understand where these concerns of our truckers are coming from,” he added.
Cua said they are open to adopting new policies once they determine that some existing ordinances of LGUs have a big impact on logistics operations.
“We are also concerned, as there might be some ‘enforcement groups’ who only use the name of the LGU in their scams,” he added.
Cua, however, hoped that LGUs’ compliance with EO 41 would help fulfill the President’s goal of bringing down commodity prices to ease the burden of consumers.
“I don’t see any challenges to its implementation. All the governors and mayors I’ve spoken to so far are very supportive. They are heeding the President’s call and they want to help. We don’t see any conflict here,” he added.
Interior and Local Government Secretary Benjamin Abalos Jr. also said the League of Municipalities of the Philippines (LMP), the Philippine Councilors League (PCL), and the Vice Mayors’ League of the Philippines (VMLP) recently passed resolutions expressing their commitment to comply with the EO 41.
“Salamat sa inyong pagsuporta at pakikiisa sa kautusan ng ating Pangulo sa pamamagitan ng Executive Order 41 (Thank you for your support and solidarity with the order of our President through Executive Order 41). These resolutions are staunch assurances that we have the support and cooperation of our local government units at the ground in implementing this policy,” Abalos said in a statement.
On Oct. 5, LMP was the first to act on the order after it passed National Directorate Resolution No. 2023-04 which declares the organization’s full support to EO 41.
The group called on its members to diligently implement and enforce the EO, and pledged to work collaboratively with all stakeholders to monitor its execution.
Meanwhile, through a resolution, the VMLP, together with its 1,634 members expressed support to EO 41 “as an active partner of the national government in addressing the impacts of inflation.”
The PCL passed a resolution “believing the EO 41 will help lower the cost of transportation, ease the delivery and lower the cost of goods which are much needed by the people in this time.”
EO 41 urges LGUs to suspend the collection of any form of fees upon all types of vehicles transporting goods under Section 153 or 155 of Republic Act 7160 or the Local Government Code of 1991.
Such fees include sticker fees, discharging fees, delivery fees, market fees, toll fees, entry fees, or Mayor’s Permit fees that are imposed upon all motor vehicles transporting goods and passing through any local public roads built and funded by said LGUs. (PNA)