PHILIPPINE INTER-ISLAND

SHIPPING ASSOCIATION
(PISA)
 Excise Tax on Petroleum

Product Before Jan. 1, 2018 Jan. 1, 2019 Jan. 1, 2020

TRAIN

Lubricating Oil PhP4.50/L PhP8.00/L PhP8.00/L PhP10.00/L

Diesel Fuel Oil 0 PhP2.50/L PhP4.50/L PhP6.00/L

Bunker Fuel Oil 0 PhP2.50/L PhP4.50/L PhP6.00/L

 Types of Fuel Used by Domestic
Ships
Main Engine - Bunker Fuel Oil
(for tankers and big
cargo ships)
Gen Sets - Diesel Fuel Oil (used by
fast crafts, small ships)
Lubricating Oil - Use both in main engine
and Gen Sets
Effect on Freight of Higher
Fuel Cost
On Containerized Ships – PhP685 to
PhP800 per 20-foot container, VAT
exclusive)
On Tankers ─ 5% to 10% increase on
freight (except those on TC)

(No data yet on Passenger ships

including RoRos)
Cost of Fuel on Vessel Operation

 PISA data – Fuel accounts for 40% to 45%

of vessel operation

 MARINA data – Fuel accounts to a high

50% of vessel operation
Example of Actual Increase Due to
the Excise Tax under TRAIN
Type of Vessel - Tanker

Tank Capacity Total Additional

Cost
Fuel for Main 120,000 Liters PhP300,000.00
Engine
Gen Set 35,000 Liters PhP87,500.00
 Other Increases in Cost

 Tugboat Assistance

 Pilot Launch

 Other ancillary port services

Thank You