Press Release
November 18, 2022

Proposed 2023 budget highlights social safety nets amid economic recovery --Gatchalian

The Senate's proposed 2023 budget highlights social safety nets in a bid to support economic recovery amid continuing uncertainties brought mainly by the Russia-Ukraine conflict and the COVID-19 pandemic, Senator Win Gatchalian said.

"We recognize the need to support marginalized sectors of our society, but this should be targeted, which means only those in dire need should receive aid from the government," Gatchalian stressed.

"We have instituted social safety nets such as subsidies for fuel, subsidies for the poorest of the poor, and other energy-related subsidies as we expect external factors such as the Russia-Ukraine issue and the COVID-19 pandemic to persist in 2023," said Gatchalian, chair of the Senate Committee on Finance Sub-Committee E.

"As long as the Russia-Ukraine conflict is there, crude oil prices are likely to be around $90 per barrel by next year and we see local pump prices to hover around P70-P90 per liter. This means we still need to give subsidy, but this should be targeted," he said.

Financial subsidies provided by the government include the subsidy for the transport sector called the Pantawid Pasada Program and the Pantawid Pamilyang Pilipino Program (4Ps) for the poorest of the poor. Other energy-related subsidies include the electrification programs of the Department of Energy (DOE) and the National Electrification Administration (NEA), the fuel and off grid electrification for rural areas, and the Electric Cooperatives Emergency and Resiliency Fund (ECERF) to fund electric cooperatives in restoring distribution lines damaged by typhoons and other natural calamities.

Under the Senate's proposed budget for next year, a total of P110.61 billion has been allocated for the 4Ps program while the Pantawid Pasada program carries a proposed budget of P5 billion. Meanwhile, for the energy-related subsidies, the DOE electrification has a budget of P500 million, P1.6 billion for NEA electrification, and P200 million for ECERF.

"The Senate is making sure that protective mechanisms that would support vulnerable sectors are sufficiently backed in terms of budgetary support. Kung sino ang talagang nangangailangan, sila ang dapat bigyan ng ayuda," Gatchalian ended.


Social safety nets prayoridad sa panukalang 2023 budget tungo sa pagbangon ng ekonomiya --Gatchalian

Ang panukalang pondo ng Senado para sa susunod na taon ay nagtataguyod ng mga social safety nets sa hangaring suportahan ang pagbangon ng ekonomiya sa gitna ng patuloy na kawalang-katiyakan na dulot ng tunggalian ng Russia at Ukraine at ng pandemya ng COVID-19, ayon kay Senador Win Gatchalian.

"Kinikilala natin ang pangangailangang suportahan ang mga pinakamahihirap na sektor ng ating lipunan, ngunit ito ay dapat targeted. Sa madaling salita, ang mga tunay na nangangailangan lamang ang dapat makatanggap ng ayuda mula sa gobyerno," giit ni Gatchalian.

"Naglagay tayo ng social safety nets tulad ng subsidiya sa gasolina, subsidiya para sa pinakamahihirap, at iba pang mga subsidiyang may kinalaman sa enerhiya dahil inaasahan natin na magpapatuloy sa 2023 ang giyera sa pagitan ng Russia at Ukraine at pati na ang COVID-19 pandemic," ani Gatchalian, chairman ng Senate Committee on Finance Sub-Committee E.

"Hangga't nariyan ang labanan ng Russia at Ukraine, nakikita ko na papalo pa rin hanggang $90 kada bariles ang presyo ng langis sa pandaigdigang merkado sa susunod na taon at posibleng makaapekto rin ito sa presyo ng mga produktong petrolyo sa bansa mula P70-P90 kada litro. Ibig sabihin, kailangan pa rin nating magbigay ng subsidiya at ito dapat ay targeted," ayon sa senador.

Kabilang sa mga binibigay ng gobyerno ang subsidiya para sa sektor ng transportasyon na tinatawag na Pantawid Pasada Program at ang Pantawid Pamilyang Pilipino Program (4Ps) na ibinibigay naman sa mga mahihirap o 'yung tinatawag na poorest of the poor. Mayroon ring energy-related subsidies tulad ng programang pagpapailaw ng Department of Energy (DOE) at National Electrification Administration (NEA), ang fuel at off grid electrification para sa mga probinsiya o malalayong lugar, at ang Electric Cooperatives Emergency and Resiliency Fund (ECERF) na nagbibigay ng pondo sa electric cooperatives na apektado ng mga bagyo at iba pang sakuna.

May kabuuang P110.61 bilyon na nakalaan para sa 4Ps program habang may proposed budget na P5 bilyon para sa Pantawid Pasada program. Samantala, para sa energy-related subsidies, ang DOE electrification ay may budget na P500 milyon, P1.6 bilyon naman ang pondo para sa NEA electrification, at P200 milyon sa ECERF.

"Tinitiyak ng Senado na may sapat na pondo para sa vulnerable sectors. Kung sino ang talagang nangangailangan, sila dapat ang nabibiyayaan ng mga subsidy programs na ito," pagtatapos ni Gatchalian.

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