Use by Natural Gas Power Generating Plants of Neat Diesel as Alternative Fuel

February 26, 2016 *

REPUBLIC ACT NO. 10745

AN ACT ALLOWING NATURAL GAS POWER GENERATING PLANTS IN THE COUNTRY TO USE NEAT DIESEL AS AN ALTERNATIVE FUEL, EXEMPTING THEM FROM THE REQUIREMENTS OF PARAGRAPH 5.3, SECTION 5 OF REPUBLIC ACT NO. 9367, OTHERWISE KNOWN AS THE "BIOFUELS ACT OF 2006"

SECTION 1. Section 5 of Republic Act No. 9367, otherwise known as the "Biofuels Act of 2006", is hereby amended to read as follows:

"SEC. 1. . . . ."

"SEC. 2. . . . ."

"SEC. 3. . . . ."

"SEC. 4. . . . ."

"SEC. 5. Mandatory Use of Biofuels. — Pursuant to the above policy, it is hereby declared that all liquid fuels for motors and engines sold in the Philippines shall contain locally-sourced biofuels components as follows:

"xxx xxx xxx

"5.3 Within three months from the effectivity of this Act, a minimum of one percent (1%) biodiesel by volume shall be blended into all diesel engine fuels sold in the country: Provided, That the biodiesel blend conforms to PNS for biodiesel.

"Within two years from the effectivity of this Act, the NBB created under this Act is empowered to determine the feasibility and thereafter recommend to the DOE to mandate a minimum of two percent (2%) blend of biodiesel by volume which may be increased taking into account considerations including but not limited to domestic supply and availability of locally-sourced biodiesel component: Provided, That natural gas power generating plants may use neat diesel as their alternative fuel during shortages of natural gas supplies: Provided, however, That the DOE shall ensure that the authority granted herein shall only be availed of, directly or indirectly, by natural gas power plants."

SECTION 2. Implementing Rules and Regulations. — The DOE shall, within thirty (30) days from the effectivity of this Act, promulgate the implementing rules and regulations of this Act. CAIHTE

SECTION 3. Separability Clause. — Should any provision of this Act be declared invalid, the remaining provisions shall continue to be valid and subsisting.

SECTION 4. Repealing Clause. — All laws, executive orders, or administrative orders, rules and regulations or parts thereof, which are inconsistent with this Act, are hereby amended, repealed or modified accordingly.

SECTION 5. Effectivity. — This Act shall take effect fifteen (15) days after its publication in at least two (2) newspapers of general circulation in the Philippines. DETACa 

* Lapsed into law on FEB 26 2016 without the signature of the President, in accordance with Article VI, Section 27 (1) of the Constitution.