Senator Francis Escudero is pushing for the government to prioritize non-tax revenue sources over the imposition of new taxes, citing untapped state-owned resources as a key area for fiscal expansion.
The legislator from Sorsogon said the government should consider bidding out exploration and production agreements over indigenous coal resources as an alternative means of raising funds, as economic managers continue to evaluate measures to strengthen state revenues for social protection programs, energy transition initiatives, and long-term fiscal stability.
He noted that several tax-related proposals remain under review, including adjustments to excise taxes on sweetened beverages and selected food products, revisions to the Motor Vehicle Road User’s Tax (MVRUT), and the proposed excise tax on single-use plastics.
The senator reiterated his long-standing position that new taxes should be treated as a last resort, stressing the need to maximize existing revenue streams and improve collection efficiency.
He pointed to identified coal-bearing areas in Cagayan, Isabela, South Cotabato, and Sarangani as examples of underutilized assets that could be opened to private sector participation through transparent and competitive bidding.
“In lieu of new taxes, the government should maximize the resources it already owns,” the solon said, adding that properly structured exploration and production agreements could generate substantial upfront payments and sustained annual revenues for the state.
He estimated that competitively bid agreements could yield up to P1 trillion in upfront proceeds and around P70 billion to P100 billion annually in non-tax income, depending on the scale of development and production output.
Escudero said the strategy could complement broader energy and development goals, particularly as the government seeks to balance fiscal sustainability with public resistance to additional tax burdens.
He added that the government should continue exploring non-tax revenue measures alongside existing fiscal reforms to support national priorities without increasing pressure on taxpayers.