Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ______ 
Introduced by Representative Lex Anthony Cris A. Colada 
AN ACT 
REDUCING THE PRICE OF FUEL, AMENDING FOR THE PURPOSE SECTION 5 OF 
REPUBLIC ACT NO. 9367, OTHERWISE KNOWN AS THE “BIOFUELS ACT 2006” 
EXPLANATORY NOTE 
Republic Act (RA) No. 9367, otherwise known as the “Biofuels Act of 2006” 
mandates that all liquid fuels for motors and engines sold in the Philippines shall contain 
locally-sourced biofuel components.  Currently, the Philippines implements a blending of 
a least 10% of bioethanol for gasoline fuel (E10) and 2% biodiesel for diesel fuel (B2). 
The blending component for bioethanol is ethanol, while for biodiesel, it is coco methyl 
ester (CME). 
The disruption in the global oil and gas supply chain brought about by the Russia-
Ukraine conflict has a tremendous impact on the Philippines’ oil supply and prices. 
Average Dubai crude oil price jumped from US$ 73.19 in January 20221 to US$ 112.30 
in June 2022.2  Since the beginning of the year up to June 2022, prices of gasoline and 
diesel per liter have gone up by P29.50 and P44.25, respectively.3 
1 Department of Energy.  “Briefer on the Current Oil Supply and Price Situation and Implications of the 
Russian-Ukraine Conflict” 14 March 2022. 
2 https://ph.investing.com/commodities/dubai-crude-oil-platts-futures-historical-data. (Accessed 26 June 
2022). 
3 Department of Energy.  Oil Price Monitor. (Accessed July 6, 2022). 
February 28, 2023
1:55 pm
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The staggering increase in the price of fuel brought by the skyrocketing global oil 
prices and higher prices of domestic ethanol paid by some oil companies have 
aggravated the hardships of the public, especially the consumer, agriculture, 
manufacturing, and service sectors. 
 
 
Oil is the lifeblood of the economy, transportation, and power.  It is a key input in 
manufacturing and a major cost factor in the overall price of goods and services.  Thus, 
fuel price increases and their impact on commodity prices in both the international and 
domestic markets have caused the country’s headline inflation rate to rise further to 6.1% 
in June 2022, the highest recorded inflation since October 2018.  The main sources of 
this acceleration are food and non-alcoholic beverages (6.0%), transportation (17.1%), 
and alcoholic beverages and tobacco (7.8%).4 
 
 
Hence, the government is pressed to give the public some reprieve and help 
cushion the unbearable fuel cost and soaring prices of commodities. 
 
 
The proposed measure seeks to reduce the retail pump price of fuel by allowing 
the President to suspend the implementation of Section 5 of RA No. 9367, or any part 
thereof, through an Executive Order, for a period not longer than one (1) year, if as a 
result of such implementation, the price of blended gasoline and/or diesel engine fuels 
will be higher by at least five percent (5%) compared to pure gasoline and/or diesel engine 
fuels.   
 
According to a presentation made by the Independent Philippine Petroleum 
Companies Association (IPPCA) to the Senate Committee on Energy hearing on March 
14, 2022, locally-produced ethanol is much more expensive than imported ethanol with a 
P21 per liter price difference, while locally-produced CME’s price impact on diesel 
compared to its imported counterpart is P34 per liter.  The same IPPCA presentation 
 
4 Philippine Statistics Authority.  Summary Inflation Report Consumer Price Index (2018=100): June 2022. 
(Accessed July 5, 2022). 


shows that suspending the mandatory use of biofuels imposed under Section 5 of RA 
9367 will reduce the price of gasoline by P1.00 to 1.50 per liter while local diesel would 
be cheaper by P0.75 to P0.90 per liter.5 
In view of the foregoing, early approval of this proposal is earnestly sought. 
             LEX ANTHONY CRIS A. COLADA 
AAMBIS-Owa Party-list 
5 Independent Philippine Petroleum Companies Association (IPPCA).   Presentation on the Implications of 
the Russia-Ukraine Conflict.  Senate Committee on Energy hearing held on March 14, 2022. 


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ______ 
Introduced by Representative Lex Anthony Cris A. Colada 
AN ACT 
AMENDING SECTION 5 OF REPUBLIC ACT NO. 9367, OTHERWISE KNOWN AS THE 
“BIOFUELS ACT OF 2006” 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
Section 1. Short Title. – This Act shall be known as the “Murang Langis” Act. 
Sec. 2. Declaration of Policy. – It is hereby declared the policy of the State to 
protect public interest by providing reasonably-priced petroleum products to consumers. 
Towards, this end, the State shall implement policies and programs to ensure the delivery 
of affordable fuel to the public. 
Sec. 3. Section 5 of Republic Act No. 9367, otherwise known as the “Biofuels Act 
of 2006” is hereby amended to read as follows: 
“Sec. 5. Mandatory Use of Biofuels. – Pursuant to the above policy, it is 
hereby mandated that all liquid fuels for motors and engines sold in the 
Philippines shall contain locally-sourced biofuels components as follows: 
“5.1 Within two years from the effectivity of this Act, at least five percent 
(5%) bioethanol shall comprise the annual total volume of gasoline fuel actually 
sold and distributed by each and every oil company in the country, subject to 
the requirement that all bioethanol blended gasoline shall contain a minimum 
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of five percent (5%) bioethanol fuel by volume: Provided, That the ethanol 
blend conforms to PNS. 
“5.2 Within four years from the effectivity of this Act, the NBB created 
under this Act is empowered to determine the feasibility and thereafter 
recommend to DOE to mandate a minimum of ten percent (10%) blend of 
bioethanol by volume into all gasoline fuel distributed and sold by each and 
every oil company in the country. 
“In the event of supply shortage of locally-produced bioethanol during the 
four-year period, oil companies shall be allowed to import bioethanol but only 
to the extent of the shortage as may be determined by the NBB. 
“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 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 
THE 
PRESIDENT, 
UPON 
THE 
RECOMMENDATION OF THE NBB AND THE DOE, MAY SUSPEND 
THE IMPLEMENTATION OF THIS SECTION, OR ANY PART 
THEREOF, THROUGH AN EXECUTIVE ORDER, FOR A PERIOD NOT 
LONGER THAN ONE (1) YEAR, IF, AS A RESULT OF ITS 
IMPLEMENTATION, THE PRICE OF BLENDED GASOLINE AND/OR 
DIESEL ENGINE FUELS WILL BE HIGHER BY AT LEAST FIVE 


PERCENT (5%) COMPARED TO PURE GASOLINE AND/OR DIESEL 
ENGINE FUELS.”    
 
Sec. 4. Implementing Rules and Regulations. – The Department of Energy, in 
consultation with the National Biofuel Board, the stakeholders and other agencies 
concerned, shall within thirty (30) days from the effectivity of this Act, promulgate the rules 
and regulations to effectively implement the provisions of this Act. 
 
Sec. 5. Repealing Clause – All laws, decrees, ordinances, rules, regulations, other 
issuances or parts thereof which are inconsistent with this Act are hereby repealed, 
amended or modified accordingly. 
 
Sec. 6.  Effectivity.  – This Act shall take fifteen (15) days following its complete 
publication in two (2) newspapers of general circulation or in the Official Gazette. 
 
Approved,