Coverage
- Applies to all persons or entities engaged or intending to engage in the LPG business for automotive use.
Key Definitions
- Defines terms such as Auto-LPG Dispensing Station, Auto-LPG Industry Participants, Bulk Supplier, Hauler, Container, and pertinent government agencies (DOE, DENR, BFP, DILG, DTI, etc.).
- Specifies LPG components and standards according to Philippine National Standards (PNS).
Minimum Standards and Compliance
- Bulk suppliers and haulers must comply with NFPA Pamphlet 58 and PLPGA Safety Code.
- Auto-LPG Dispensing Stations must conform to PNS/DOE FS 3:2006 and specific lot area requirements based on storage type.
- Retailing limited to LPG containers for automotive use; household cylinders prohibited.
- Self-service stations prohibited.
- Operation only with a valid Standards Compliance Certificate (SCC) from DOE-OIMB.
Certification and Permits
- SCC issued upon full compliance with documentary requirements including business permits, environmental clearances, building permits, fire safety certificates, and proof of qualified personnel.
- Certificate of Non-Coverage (CNC) issued for garage-based operations meeting specified criteria, exempting them from some provisions.
- Non-issuance, non-renewal, or revocation of SCC for failures such as non-compliance, unauthorized operation, refusal to allow inspection, or failure to pay fines.
Documentary and Reportorial Requirements
- Notification to DOE before engagement and submission of detailed documents: business plans, permits, safety certificates, engineering plans, list of personnel and equipment.
- Mandatory submission of regular reports including sales, clients, equipment inventory.
Operational Code of Practice
- Bulk suppliers and haulers to follow PLPGA Safety Code provisions.
- Auto-LPG Dispensing Stations to maintain emergency shut-off valves and properly trained personnel.
- Only certified personnel may dispense LPG.
- Specific safety standards for container handling and dispenser operation.
- Fire extinguisher requirements and restriction of vehicle parts exposure during dispensing.
Consumer Safety and Information
- Mandatory display of price boards, prohibitory signs about smoking, engine operation, and use of electronic devices.
- Failure to display signs is subject to fines.
Transaction and Documentation
- Official receipts mandatory for all LPG sales with details and copies retained for DOE inspection.
Dispenser Calibration and Sealing
- Quarterly calibration and sealing of LPG dispensers by authorized entities.
- Dispensers out of calibration must be marked out of order and not used.
- Records of calibration to be maintained and presented when demanded.
Product Standards
- Dispensed LPG must comply with PNS/DOE QS 005:2005 Type 2B standard.
- Bulk suppliers to provide certificates of quality.
- DOE inspectors authorized for unannounced sampling and testing.
Prohibited Acts
- Illegal trading includes operating without SCC, non-issuance of receipt, refilling household cylinders, selling adulterated LPG, and selling to unqualified stations or operators.
- Obstruction of inspection deemed illegal trading.
- Underdelivery defined as dispensing below -1% maximum permissible error;
- Hoarding defined as refusal to sell during critical times or undue accumulation of stocks.
- Possession or distribution of LPG not meeting standards constitutes adulteration.
Penalties and Sanctions
- First violation: Fine of PHP 10,000 per prohibited act.
- Second violation: Additional fine of PHP 10,000.
- Third violation: Cancellation or revocation of SCC.
- Operating without SCC: Fine of PHP 60,000 and immediate suspension or cessation.
- Failure to pay fines leads to suspension or cancellation of operation and possible criminal action.
Administrative and Criminal Proceedings
- Administrative actions can be initiated by any person or motu proprio by DOE.
- Filing of criminal cases additionally possible under BP Blg. 33 and RA 8479.
Transition and Final Provisions
- Three-month transition period for existing operators to comply.
- Provides for repealing inconsistent DOE issuances.
- Contains severability clause.
- Circular takes effect fifteen days after publication.