(NAR) VOL. 25 NO. 1 / JANUARY - MARCH 2014
WHEREAS, R. A. No. 8479, otherwise known as the “Downstream Oil Industry Deregulation Act of 1998”, provides for the deregulation of the downstream oil industry to foster a truly competitive market which can better achieve the social policy objectives of fair prices, adequate and continuous supply of environmentally-clean and high quality petroleum products;
WHEREAS, Rule V, Section 18, b and b (2) of the Implementing Rules and Regulations (IRR) of R.A. No. 8479, provides that the Oil Industry Management Bureau (OIMB) shall monitor through spot and periodic sampling and testing of petroleum products to ensure conformance to the national standards on quality;
WHEREAS, The Philippine National Standard (PNS) specifications formulated by the Technical Committee on Petroleum Products and Additives (TCPPA) and promulgated by the Bureau of Product Standards (BPS) will be the basis for determining fuel quality compliance;
WHEREAS, the use of chemical marker to monitor petroleum product quality as prescribed in Special Ministry Memorandum Order No. 83-08-25 entitled “Fuel Marking” and Bureau of Energy Utilization (BEU) Memorandum Circular No. 83- 11-253 entitled “Petroleum Product Marking Program” is no longer necessary as the DOE has adopted a more practical product quality monitoring procedure through direct and indiscriminate product sampling and testing to check compliance with the PNS;
WHEREAS, Section 17 Rule IV (Petroleum Product Standards) of Department Circular No. 2003-11-010 states that only liquid petroleum products complying with the PNS, including the prescribed color coding scheme for the same, shall be dispensed at retail outlets. It further provides that the possession of liquid petroleum products which do not meet the prescribed PNS shall constitute prima facie evidence of adulteration and the sale, distribution, transportation, exchange or barter of adulterated products shall constitute illegal trading;
NOW, THEREFORE, the following guidelines are hereby adopted to effectively implement this Department Memorandum Circular on the phase out of fuel markers/dyes on all gasoline fuels:
Fort Bonifacio, Taguig City, Metro Manila. December 13, 2013.
(SGD) CARLOS JERICHO L. PETILLA
Secretary