Legal basis and related circulars
- DOE Department Circular No. 2003-01-001 provides guidelines to implement the minimum inventory requirement for oil companies and bulk suppliers to ensure continuous, adequate, and stable supply of petroleum crude oil and products in supply-restricting events.
- DOE Department Circular No. 2003-03-002 previously relaxed the minimum inventory requirements.
- DOE Department Circular No. DC-2011-03-0002 provides that Department Circular 2003-03-002 is repealed.
- DOE Department Circular No. DC-2011-03-0002 provides that Department Circular 2003-01-001 is reinstated.
Purpose and policy intent
- The circular is grounded on the need to ensure stability in the supply of petroleum crude oil and petroleum products in the Philippines.
- The circular identifies political and civil unrest in several Middle East countries as the reason for restoring minimum inventory requirements.
Minimum inventory rules reinstated
- Oil companies, except refiners, must maintain a minimum inventory equivalent to 15 days supply of petroleum products, excluding liquefied petroleum gas, which must be maintained at seven days supply.
- Refiners must maintain a minimum inventory equivalent to 30 days supply consisting of petroleum crude oil and refined petroleum products.
- The reinstated inventory requirements apply under the framework previously set by DOE Department Circular No. 2003-01-001.
Repeal and reinstatement effect
- Department Circular 2003-03-002 is repealed.
- Department Circular No. 2003-01-001 is reinstated in full effect for purposes of minimum inventory compliance under the circular’s stated objective.
- The circular expressly reinstates the baseline minimum inventory requirements previously relaxed by Department Circular 2003-03-002.