Euro 4/IV-PH Fuel Standards Implementation

Section 1 mandates that starting 01 January 2016, only gasoline and diesel fuels that comply with the Euro 4/IV-PH fuel standard specifications may be sold.
Gasoline must comply with the PNS/DOE QS 008:2012 Euro 4/IV-PH specifications.
Diesel must comply with the PNS/DOE QS 004:2012 Euro 4/IV-PH specifications.
Section 1 limits permitted sale to compliant fuels at both bulk and retail levels in the country.
Section 1 requires that, while early introduction is desirable, proper labelling pursuant to existing guidelines must be observed.

Republic Act No. 7638 authorizes the DOE to formulate rules and regulations guiding energy resource supply and distribution involving both government and private entities.
Republic Act No. 8749 (Philippine Clean Air Act of 1999) mandates the use of environmentally clean fuels that meet specified emission standards.
Republic Act No. 8749 directs the DOE, together with DENR, BPS, and DOST and other stakeholders, to set fuel specifications and improve fuel composition.
The circular implements the Euro 4/IV-Philippine requirements already incorporated in PNS/DOE QS 008:2012 (gasoline) and PNS/DOE QS 004:2012 (diesel).
The circular is also anchored on harmonization goals for fuel quality standards and emission standards to support environment, vehicle performance, health and safety, and easier global trade.

DENR Administrative Order No. 2010-23 provides that starting 01 January 2016, new passenger and light duty motor vehicle types introduced into the Philippine market must comply with Euro 4/IV limits/emission standards, subject to Euro 4/IV-PH fuel availability.
DENR Administrative Order No. 2015-04 reiterates the Euro 4/IV compliance timeline and prescribes emission standards for certain vehicle types loaded with Euro 4/IV fuels for compliance by 01 July 2015.
The circular links the market availability of Euro 4/IV-PH fuels with the same timeline assumptions for oil companies’ upgrading, importation programs, and dilution/roll-on preparation in depots and retail outlets.
The circular fixes the nationwide fuel sale compliance start at 01 January 2016.

Section 2 requires the DOE, through OIMB and its counterpart Field Offices, to conduct random quality and quantity sampling and testing of gasoline and diesel taken from oil company facilities.
The monitoring is designed to ensure compliance with Section 1 of the circular.
Section 2 provides that compliance with the PNS constitutes the offense of Adulteration as defined and punishable under existing circulars.

Section 3 requires oil companies to ensure their retail station personnel/staff are fully aware and conversant of the products they sell or dispense.
Section 3 requires retail station personnel/staff to inform customers of the new product specifications.

Section 4 requires oil industry participants to submit the Reportorial Requirements pursuant to the Downstream Oil Industry Deregulation Act of 1998 and its implementing rules and regulations.
Section 4 provides that failure to submit the reportorial requirements is deemed a prohibited act.

Section 5 provides that any person who fails to comply with the circular’s provisions is subject to appropriate sanctions imposed under applicable laws and implementing rules and regulations.
Section 5 ties enforcement to sanctions available under existing legal and regulatory frameworks governing non-compliance.

Section 6 provides that all circulars and issuances not consistent with Department Circular No. DC2015-06-0004 must be modified and repealed accordingly.
Section 7 states that the circular takes effect upon its publication in two (2) newspapers of general circulation.
Section 7 provides that the circular remains in effect until revoked.
The circular is issued at Energy Center, Bonifacio Global City, Taguig City, signed by Carlos Jericho L. Petilla, Secretary.