Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRE!
First Regular Session

1383

House Bill No. 7

Introduced by GABRIELA Women's Party Representatives
EMERENCIANA A. DE JESUS and LUZVIMINDA C. ILAGAN

EXPLANATORY NOTE

‘The National Price Coordinating Council (NPCC), which was created through Republic Act
7581, otherwise known as the "Price Act," was created to provide safety nets for consumers
when prices of basic commodities increase unreasonably. Its main function is to stabilize the
Prices of basic necessities and prime commodities by advising the President and other
concerned agencies on general policy matters for promotion and improvement. in
productivity, distribution and stabilization of the said products.

A repealing clause of the said act includes Presidential Decree (PO) 1674 which originally
created the Price Stabilization Council. PO 1674 basically performs the same functions as
those of the NPCC, except that the NPCC does not have the power of the Price Stabilization
Council to recommend to the President the following provisions, which this proposed bill
seeks to include as said provisions are substantial and necessary in providing protection to
consumers:

* Setting of price ceiling on key and essential commodities particularly those purchased
by low income groups after verifying through surveys and various studies;

* Recommending to the President the removal or reduction of taxes on basic necessities
and prime commodities, including the revision of their commodity classification;

* Recommending to the president the grant of subsidies to certain sectors in order to
hasten production of certain items

The NPCC's present mandate apparently falls short of what it is expected to do. Prices of
basic commodities have continuously increased over the years despite clamor from various
consumer groups urging the government to freeze all price increases in basic commodities. In



2005, prices of oil and petroleum products went up more than ten times. Liquefied Petroleum
Gas (LPG) on the other hand rose 12 times, with a total increase of P144.65 per cylinder. In
2007, the House of Representatives approved the increase in the value-added tax from 10%
(012%, This proposed VAT increase will undoubtedly be another pass-on burden to
consumers,

Itis in this light and amidst clamor and protests of various women and consumer groups that
this bill is being proposed. This bill seeks to enforce and strengthen the functions of the Price
Coordinating Council, in giving relief and dependable safety net measures to the consumers
amidst increases in the prices of basic necessities and prime commodities.

In view of the above, immediate passage of this bill is earnestly sought.

EMERENCIANA A. DE JESUS LOZVIMINDA C.ILAG.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EENTH CONGRESS
First Regular Session

S 1383

House Bill No.

Introduced by GABRIELA Women's Party Representatives
EMERENCIANA A. DE JESUS and LUZVIMINDA C. ILAGAN

AN ACT AMENDING SECTION TWELVE, FUNCTIONS OF THE PRICE,
COORDINATING COUNCIL, OF REPUBLIC ACT 7581 OTHERWISE KNOWN AS
AN ACT PROVIDING PROTECTION TO CONSUMERS BY STABILIZING THE

(CES OF BASIC NECESSITIES AND PRIME COMMODITIES AND BY
MEASURES AGAINST UNDUE PRICE INCREASES DURING
EMERGENCY SITUATIONS AND LIKE OCCASIONS.

Be it enacted by the
assembled:

nate and the House of Representatives of the Philippines in Congress

ction 12 of RA 7581 otherwise known as "The Price Act" is hereby amended as follows:

s 12. Functions of the Price Coordinating Council -The Price Coordinating Council shall
have the following functions:

(1) It shall coordinate the productivity, distribution and price stabilization programs,
projects and measures of the government and develop comprehensive strategies to
effect a general stabilization of prices of basic necessities and prime commodities at
affordable levels;

(2) It shall report to the President and to the Congress of the Philippines the status and
progress of the programs, projects, and measures undertaken by each implementing
department, agency or office as well as the comprehensive strategies developed by the
Council to stabilize the price of basic necessities and prime commodities;



(3) It shall advise the President on general policy matters for promotion and
improvement in productivity, distribution and stabilization of prices of basic

necessities and prime commodities;

ING OF PRICE
PARTICULARLY
|. AFTER VERIFYING
AND/ OR HEARINGS
AVE RISEN TO AN

iy.its
cr
THOS
THROUGH SURVEYS AND TECHNICAL
CHAT THE PRICES OF THESE ITEMS
UNREASONABLE LEVEL;

DENT THE REMOVAL OR REDUCTION
ES AND PRIME COMMODITIES,
OF THEIR) COMMODITY

(5] TO RECOMMEND TO THE
OF TAXES ON BASIC NE
INCLUDING THE REViS!
CLASSIFICATION;

THE GRANT OF SUBSIDI

[6] TO RECOMMEND TO THE PRESIDE)
CERTAIN SECTORS IN ORDER TO HAS
ITEMS AND THEREBY ASSURE STABL!

EN PRODUCTION OF CERTAIN
PR

“ES FOR CONSUMERS;

emment agency such information
us for purposes of assessing the

(4) [7] 1cmay require from its members or any other
as it may deem necessary, and conduct public hear
supply, distribution, and price situation of any basic necessity or prime commodity

(5) [8] -~-xxxx---

Approved;