Local Ethanol Producers Urging for Mandatory Ethanol Blends

Local ethanol producers are asking the government to make higher voluntary ethanol blends mandatory to lessen the reliance on imports of fossil fuel and to improve the bioethanol industry in the country.

The United States Department of Agriculture (USDA) released a recent report noting that the Philippine government is looking into higher ethanol gasoline blends on a voluntary basis of up to 20%.

This is on par with the recent statement of the Bangko Sentral ng Pilipinas (BSP) saying that the Philippines relies heavily on refined petroleum product imports and with an energy meeting last year with the Senate committee in which the Department of Energy (DOE) was recommended to review higher blends.

Despite advocating for a voluntary basis, the USDA has mentioned that the discussion on higher ethanol blends provides the needed push for local ethanol producers to widen their capacities.

On the other hand, the Ethanol Producers Association of the Philippines (EPAP) has mentioned that the voluntary basis on the higher ethanol blends is not in accordance with the Biofuels Act of 2006.

EPAP Chairman Gerardo Tee has mentioned that the law has mandated boosting the bioethanol blends. “It’s already in the law. If it will only be voluntary, then higher blending will never move,”  mentioned Tee.

Tee also adds that the National Biofuels Board (NBB) should determine the mandatory increase in blending.

The NBB, which is the main agency responsible for implementing and reviewing the Biofuels Act of 2006, is made up of the Philippine Coconut Authority (PCA), Department of Labor and Employment (DOLE), Department of Agriculture (DA), Department of Finance (DOF), and the Department of Energy (DOE).

Source: Philstar