INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION

ACKNOWLEDGEMENT

This study wouldn’t be able to succeed without the help of enormous

individuals involved in such schoolwork.

To God Almighty, for the unending guidance, love, wisdom and the
breath of life,

To the Faculty of ISAP-BSCA particularly to our Dean of the Business

Cluster, Mr. Ronie Sugarol, LCB, MPBM, our Program Coordinator, Ms.
Kristine Tenefrancia, LCB, and college instructors, Harold Duran, LCB
and Carisma Cabaruan, LCB for the everlasting support and
encouragement for the improvement of this output,

To the Research office for the essential inputs, corrections and

positive criticisms regarding the completion of this study,

To Mr. Mark Angelo Binarao for his patience, time and hard work as
the team’s research subject instructor and statistician,

To Mr. Ronie E. Sugarol, LCB, MPBM, our research adviser, for

corrections and advises

To our parents for the financial funding and moral support, forever
would never be enough to repay such great reinforcement.

Thank you very much and more Power!

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION

DEDICATION

This work of hardship and sacrifice is primarily committed to our

Creator, the ever-sufficeth, God Almighty;

To the past tricycle drivers of Tuguegarao City, for their great

contribution and shared time and efforts in rendering service to the
public.

To the present and future BSCA students, for this serves as

additional enlightenment towards their chosen path of career;

To all interested parties willing to analyze, inquire and make

further researches about this topic,

This study is dedicated to each one of you.

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION

APPROVAL SHEET

This research study entitled, “Perceived Effect of the Increase in

Excise Tax on the Petroleum Products to the Working Pattern of the
Tricycle Drivers of Tuguegarao City in Relation to their Level of
Engagement” prepared and submitted by Eduard L. Castillo, Arman B.
Morales and Jeanne Pauline A. Pangan. In partial fulfillment for the
requirement for the degree Bachelor of Science in Customs
Administration, has been examined and was recommended for acceptance
and approval for oral defense.

RONIE E. SUGAROL,LCB,MPBM
Research Adviser

THESIS REVIEW PANEL

The Tribunal on Oral Examination with a grade of _________.

KRISTINE C. TENEFRANCIA,LCB HAROLD B. DURAN,LCB

Member Member

MARK ANGELO S. BINARAO,LPT NIÑA ANNE P.PARACAD,RN,MSN

Member Member

RYAN C. FONTANILLA,RN,MSN,LPT
Chairperson
Hereby accepted and approved in partial fulfilment of the
requirements for the degree Bachelor of Science in Customs
Administration.

KRISTINE C. TENEFRANCIA,LCB
Program Coordinator, College of Customs Administration

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION

TABLE OF CONTENTS

Title Page ---------------------------------------------------------i

Acknowledgement ---------------------------------------------------ii

Dedication -------------------------------------------------------iii

Approval Sheet ----------------------------------------------------iv

Table of Contents --------------------------------------------------v

List of Tables --------------------------------------------------viii

List of Figure -----------------------------------------------------x

Abstract ----------------------------------------------------------xi

CHAPTER I – THE PROBLEM AND ITS BACKGROUND

Introduction --------------------------------------------------1

Conceptual Framework ------------------------------------------2

Research Paradigm ---------------------------------------------4

Statement of the Problem --------------------------------------5

Hypotheses ----------------------------------------------------6

Significance of the Study -------------------------------------7

Scope and Delimitation of the Study ---------------------------8

Definition of Terms -------------------------------------------9

CHAPTER II – REVIEW OF RELATED LITERATURE AND STUDIES

Petroleum and Its Purpose ------------------------------------13

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION
Increasing Supply, Demand, and Consumption of Oil in the
Philippines --------------------------------------------------14

Excise Taxation on Petroleum Products ------------------------17

Cause of Tax Reform on Petroleum Products in the

Philippines --------------------------------------------------18

Benefits of Tax Enforcement ----------------------------------21

Changes in Oil Prices ----------------------------------------21

Countering the Negative Effects of Price Increase in Oil -----24

CHAPTER III – RESEARCH METHODOLOGY

Research Design ----------------------------------------------27

Respondents of the Study -------------------------------------27

Data Gathering Tool ------------------------------------------28

Data Gathering Procedure -------------------------------------28

Data Analysis ------------------------------------------------29

CHAPTER IV - PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA

CHAPTER V - SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

Summary of Findings ------------------------------------------57

Conclusion ---------------------------------------------------59

Recommendations ----------------------------------------------59

BIBLIOGRAPHY ------------------------------------------------------62

APPENDICES

Sample Questionnaire -----------------------------------------68

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION
Letter of Communication --------------------------------------73

Literature Matrix --------------------------------------------76

General Statistical Tables -----------------------------------92

Curriculum Vitae --------------------------------------------126

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION

LIST OF TABLES

Table 1.1: Frequency Count and Percentage Distribution of

Respondents as to Age ---------------------------------------------31

Table 1.2: Frequency Count and Percentage Distribution of

Respondents as to Civil Status ------------------------------------32

Table 1.3: Frequency Count and Percentage Distribution of

Respondents as to Highest Educational Attainment ------------------33

Table 1.4: Frequency Count and Percentage Distribution of

Respondents as to Years in Driving --------------------------------34

Table 1.5: Frequency Count and Percentage Distribution of

Respondents as to Amount of Gas Consumption per Day ---------------35

Table 2.1: Working Pattern of the Respondents as to

Time Allotted in Working ------------------------------------------36

Table 2.2: Working Pattern of the Respondents as to

Trips -------------------------------------------------------------37

Table 2.3: Working Pattern of the Respondents as to

Gas Consumption ---------------------------------------------------38

Table 2.4: Working Pattern of the Respondents as to

Alliance ----------------------------------------------------------39

Table 3.1: Level of Engagement of the Respondents as

to Engagement -----------------------------------------------------40

Table 3.2: Level of Engagement of the Respondents as

to Pride ----------------------------------------------------------42

Table 3.3: Level of Engagement of the Respondents as

to Intention to Stay ----------------------------------------------43

Table 3.4: Level of Engagement of the Respondents as

to Likelihood to Recommend this Work to Others --------------------45

Table 3.5: Level of Engagement of the Respondents as

to Motivation -----------------------------------------------------46

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION
Table 4.1: Test of Relationship Between the Demographic
Profile and Working Pattern of the Respondents --------------------48

Table 4.2: Test of Relationship Between the Demographic

Profile and Level of Engagement of the Respondents ----------------50

Table 5.1: Test of Relationship Between the Amount

Allotted for Gas Daily and the Respondents’ Working
Pattern -----------------------------------------------------------52

Table 5.2: Test of Relationship Between the Amount

Allotted for Gas Daily and the Respondents’ Level
of Engagement -----------------------------------------------------53

Table 6: Test of Relationship Between the Working

Pattern of the Respondents and their Level of
Engagement --------------------------------------------------------55

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION

LIST OF FIGURES

Figure 01: Input-Process-Output Cycle ------------------------------4

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INTERNATIONAL SCHOOL OF ASIA AND THE PACIFIC COLLEGE OF CUSTOMS ADMINISTRATION

ABSTRACT

This study aimed to determine the impact of the increase in the

excise taxes on the petroleum products to the working pattern of the
tricycle drivers and its relation to their level of engagement as a
common carrier in Tuguegarao City. This includes one hundred and fifty
(150) tricycle drivers of Tuguegarao City who are providing public
service to the people within Tuguegarao City as a common carrier and
are currently members of a formally recognized Tricycle Operators and
Drivers’ Association (TODA) which employed descriptive-correlational
research design showing that the perceived effects of the TRAIN Law of
2017 as to the working pattern of the respondents has a relationship
with their level of engagement as a common carrier in the city which
was treated statistically by using the frequency distribution,
percentage, weighted mean and Pearson-r correlation coefficient. This
result served as a useful feedback to find ways to counter the effects
of the TRAIN Law and preference for the public to help the respondents
maintain their engagement to the community. With these findings, the
researchers recommend the common carrier to use newer models of motor
tricycles which have lesser rate of gas consumption compared to the old
models to help them counter the price hike on the petroleum products
brought by the Tax Reform for Acceleration and Inclusion (TRAIN) Act of
2017.

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