The Philippine government is moving to let the president suspend biodiesel blend increases. (Photo: iStock)
The Philippine government is planning legal amendments to relax the country’s biodiesel mandate in an effort to shield consumers from surging global coconut oil prices and contain inflation risks.
However, the Philippine Biodiesel Association (TPBA) on Nov. 23 urged the government to proceed with caution, arguing in a statement that biodiesel prices have remained relatively stable and warning that changes to the mandate could disrupt the coconut supply chain.
Lower House proposes 5% threshold to delay blend increase
Under the Biofuels Act of 2006, all liquid fuels sold in the Philippines must contain a share of domestically produced biofuels. In response to rising fuel costs, lawmakers recently filed the proposed Murang Langis bill, seeking to grant the president authority to postpone by one year the scheduled increase in the biodiesel blend requirement if the price of blended gasoline or diesel exceeds pure petroleum products by at least 5 percent. Proponents argue the measure would help prevent further upward pressure on consumer fuel costs.
