Mandate 2% Biodiesel, 5% Bioethanol Blend

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DOE DEPARTMENT CIRCULAR NO. DC 2009-02-0002: Mandate 2% Biodiesel, 5% Bioethanol Blend

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Title Supreme Court: Mandate 2% Biodiesel, 5% Bioethanol Blend

Law: Doe Department Circular No. Dc 2009-02-0002

Decision Date: Feb 5, 2009

The DOE mandates a minimum 2% biodiesel blend in all diesel and 5% bioethanol in the total volume of gasoline sold by oil companies, effective February 6, 2009, to promote the use of biofuels in the country.

A

Mandate on Biodiesel Blend in Diesel

Requires a minimum blend of 2% biodiesel by volume in diesel fuel sold and distributed.
The National Biofuels Board (NBB) is empowered to determine the feasibility and recommend the minimum biodiesel blend.
Recommendation made by the NBB on January 19, 2009, based on viability studies.
Biodiesel blend can be increased considering domestic supply and availability of locally-sourced biodiesel.

Implementation and Compliance

All entities selling or distributing petroleum fuels must comply with the minimum biofuel blending requirements.
Deadlines for compliance set at February 6, 2009.
The fuel blends must meet specifications set by the PNS for B2 (biodiesel blend) and E10 (ethanol blend) fuel grades.

Legal Authority and Effectivity

Mandates issued pursuant to provisions of Republic Act No. 9367, Sections 5.1 and 5.3, paragraph 2.
Implementation backed by a resolution of the National Biofuels Board.
Effective immediately upon issuance of the DOE Department Circular No. DC 2009-02-0002 dated February 5, 2009.

Key Definitions and Standards

Bioethanol blend: Gasoline containing at least five percent ethanol by volume.
Biodiesel blend (B2): Diesel fuel containing at least two percent biodiesel by volume.
Philippine National Standards (PNS) dictate technical and quality specifications for the biofuel blends.

Purpose and Policy Considerations

Encourages use of renewable fuels to reduce dependence on imported petroleum.
Supports local biofuel industry development and agricultural sector.
Considers feasibility and availability of local biofuel feedstocks in blend mandates.

Penalties and Enforcement

While the Circular itself primarily sets mandates, compliance is subject to monitoring and regulation by the DOE.
Non-compliance may be penalized under relevant provisions of the Biofuels Act and existing laws on fuel standards and distribution.

END