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Calls Grow for Expanded Gov’t Services, Subsidies to Cushion Energy Impact

  • Joseph Tan
  • Nation
  • May 1, 2026

Rising fuel prices linked to global tensions are putting renewed pressure on transport costs, food prices, and household budgets, prompting calls for stronger government intervention beyond wage increases.

Labor groups and stakeholders are urging authorities to expand social services and targeted subsidies to help workers and commuters absorb the economic shock, particularly those in the transport sector most affected by fuel volatility.

Speaking before the Philippine Metalworkers’ Alliance on Labor Day, Senator Risa Hontiveros called for broader social support to protect Filipinos from the impact of the energy crisis tied to tensions in the Middle East.

Among the proposals is the expansion of the public utility vehicle (PUV) service contracting program, which provides fixed income support to drivers while maintaining stable fares. Advocates say the program helps reduce income uncertainty for drivers while shielding commuters from fare hikes.

Hontiveros said reallocating funds to the Department of Transportation for the program is among the measures needed to cushion the impact on drivers and commuters.

There are also proposals to realign portions of existing social welfare funds to sustain transport subsidies, including support for drivers of buses, jeepneys, ride-hailing services, and delivery platforms. Some policymakers are also considering a supplemental budget to extend assistance under a broader service contracting framework.

Beyond immediate subsidies, labor groups are pushing for a shift toward a “social wage” approach—strengthening public services such as transport, food systems, and basic utilities to reduce long-term living costs.

They argue that without structural support, wage increases may be quickly offset by rising prices, especially during global supply shocks.

Workers’ groups also called for better coordination among government agencies to speed up the rollout of assistance programs, citing delays in fund realignment and implementation.

As fuel prices remain volatile, stakeholders stress that sustained relief will depend not only on wage adjustments but also on stronger, more responsive public service systems.

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