TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
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25 JUL 15 P2:02
SENATE 
S.B. No.
RSiCtilv^-D BV:
Introduced by Senator WIN GATCHALIAN
AN ACT
INSTITUTIONALIZING TRANSPARENCY IN THE PHILIPPINE 
DOWNSTREAM OIL INDUSTRY AND AMENDING FOR THE PURPOSE 
REPUBLIC ACT NO. 8479 OTHERWISE KNOWN AS THE DOWNSTREAM OIL
INDUSTRY DEREGULATION ACT
EXPLANATORY NOTE
Republic Act No. 8479 (RA 8479) otherwise known as the Downstream Oil Industry 
Deregulation Act of 1998 was passed by Congress with the declared policy of creating 
a truly competitive market under a regime of fair prices, and promoting and 
encouraging entry of new participants. RA 8479 mandates the Department of Energy 
(DOE) to monitor and publish the movement of international and domestic oil prices,1 
as well as take measures to promote fair trade, and prevent cartelization, monopolies, 
and unfair competition in the downstream oil industry.2 Pursuant to this mandate, the 
DOE has advocated for greater transparency from oil companies as to how imported 
petroleum products sold in the domestic market are priced.3
By amending RA 8479, this proposed legislation institutionalizes transparency in the 
downstream oil industry by empowering the DOE to mandate oil companies to submit
1 Section 14. RA 8479.
2 Section 7. RA 8479.
3 DOE: Fuel unbundling, strategic oil reserve plan eyed to cushion impact of price hikes. CNN Philippines. 8 March 2022. Available at: 
https://wwv/.cnnphilippines.com/news/2022/3/8/Department-of-Energy-fuel-unbundling-oil-reserve.html. Accessed on: 28 June 2022.


the actual cost components of their fuel price whenever the average price of Dubai 
crude oil, based on the Mean of Platts Singapore, is equal to or greater than eighty 
dollars (USD 80) per barrel. This measure also imposes penalties on oil companies 
failing to comply with this requirement, and on government officials who disclose 
proprietary and confidential information contrary to the provisions of the proposed 
measure.
For these reasons, the immediate passage of this measure is souq^tt
WIN GATCHALIAN


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TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
S.B. No
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SENATE
641
■' 11 n*: '
25 JUL 15 P2 :02
RrCEiV D
Introduced by SEN. WIN GATCHALIAN
AN ACT
INSTITUTIONALIZING TRANSPARENCY IN THE PHILIPPINE 
DOWNSTREAM OIL INDUSTRY AND AMENDING FOR THE PURPOSE 
REPUBLIC ACT NO. 8479 OTHERWISE KNOWN AS THE DOWNSTREAM OIL
INDUSTRY DEREGULATION ACT
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
Section 1. Section 14 of Republic Act No. 8479 is hereby amended to read as
follows:
"Section 14. Monitoring -
(a) The DOE shall monitor and publish daily international crude 
oil prices, as well as follow the movements of domestic oil prices.
IN PURSUANCE OF THIS MANDATE, THE DOE SHALL 
HAVE THE POWER TO REQUIRE DOWNSTREAM OIL 
INDUSTRY PARTICIPANTS ENGAGED IN THE RETAIL OF 
PETROLEUM PRODUCTS TO SUBMIT INFORMATION 
PERTAINING TO THE ACTUAL COST COMPONENTS OF 
THE PUMP PRICE OF THEIR PETROLEUM PRODUCTS 
SOLD AT RETAIL FUEL OUTLETS: PROVIDED, THAT THE 
AVERAGE PRICE OF DUBAI CRUDE OIL, BASED ON THE 
MEAN OF PLATTS SINGAPORE, FOR THREE (3)


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CONSECUTIVE MONTHS IS EQUAL TO OR GREATER THAN 
EIGHTY DOLLARS (USD 80) PER BARREL: PROVIDED 
FURTHER, THAT THE COST COMPONENTS 
SHALLINCLUDE THE FOLLOWING:
1. ACTUAL COST PERTAINING TO INTERNATIONAL 
CONTENT SUCH AS IMPORT COSTS, FREIGHT COSTS, 
INSURANCE, AND FOREIGN EXCHANGE COSTS;
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ACTUAL COST PERTAINING TO GOVERNMENT 
IMPOSITIONS SUCH IMPORT DUTIES, EXCISE TAXES, 
VALUE ADDED TAXES, AND OTHER TAXES;
3. ACTUAL COST PERTAINING TO BIOFUEL COST;
4. ACTUAL COST PERTAINING TO OTHER COSTS SUCH AS 
PORT CHARGES, REFINING COSTS, STORAGE COSTS, 
HANDLING COSTS, MARKETING COSTS, 
TRANSSHIPMENT COSTS, AND OTHER COSTS; AND
5. ACTUAL COST PERTAINING TO THE OIL COMPANY'S 
PROFIT.
THE DOE SHALL NOT DISCLOSE ANY PROPRIETARY AND 
CONFIDENTIAL INFORMATION TO THE PUBLIC AND TO 
OTHER OIL INDUSTRY PARTICIPANTS UNLESS PRIOR 
CONSENT OF THE SOURCE OR OWNER OF SUCH 
INFORMATION HAS BEEN OBTAINED BY THE 
REQUESTING PARTY: PROVIDED, THAT PRIOR CONSENT 
SHALL NOT BE REQUIRED IF THE PROPRIETARY AND 
CONFIDENTIAL INFORMATION IS REQUESTED BY A 
GOVERNMENT AGENCY IN THE PERFORMANCE OF ITS 
FUNCTIONS: 
PROVIDED, FINALLY, THAT THE
REQUESTING GOVERNMENT AGENCY SHALL NOT 
DISCLOSE THE PROPRIETARY AND CONFIDENTIAL 
INFORMATION TO THE PUBLIC AND TO OTHER OIL 
INDUSTRY PARTICIPANTS.


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It shall likewise monitor the quality of petroleum products and 
stop the operation of businesses involved in the sale of 
petroleum products which do not comply with the national 
standards of quality that are aligned with the national 
standards/protocols of quality. The Bureau of Product Standards 
of the DTI, together with the Department of Environment and 
Natural Resources (DENR), the DOE, the Department of Science 
and Technology (DOST), representatives of the fuel and 
automotive industries and the consumers, shall set the 
specifications for all types of fuel and fuel-related products to 
improve fuel composition for increased efficiency and reduced 
emissions. The BPS shall also specify the allowable content of 
additives in all types of fuels and fuel-related products.
XXX"
Section 2. Section 24 of Republic Act No. 8479 is hereby amended to read as
follows:
"Section 24. Penal Sanction. - Any person who violates any of 
the provisions of this Act shall suffer the penalty of three (3) 
months to one (1) year imprisonment and a fine ranging from 
Fifty thousand pesos (P 50,000.00) to Three hundred thousand 
pesos (P 300,000.00): PROVIDED, THAT, ANY 
PARTICIPANT IN THE DOWNSTREAM OIL INDUSTRY 
ENGAGED IN THE RETAIL OF PETROLEUM PRODUCTS 
WHO SHALL FAIL TO COMPLY WITH THE REQUIREMENT 
TO SUBMIT INFORMATION PURSUANT TO THE 
PROVISIONS OF SECTION 14 (A) OF THIS ACT SHALL BE 
SUBJECT TO AN ADMINISTRATIVE PENALTY 
EQUIVALENT TO A FINE RANGING FROM A MINIMUM OF 
FIVE MILLION PESOS (PHP 5,000,000.00) TO A 
MAXIMUM OF FIFTY MILLION PESOS (PHP


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50,000,000.00): PROVIDED, FURTHER, THAT ANY
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GOVERNMENT OFFICIAL WHO SHALL DISCLOSE
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PROPRIETARY AND CONFIDENTIAL INFORMATION
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CONTRARY TO THE PROVISIONS OF SECTION 14 (A) OF
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THIS ACT SHALL BE SUBJECT TO AN ADMINISTRATIVE
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PENALTY EQUIVALENT TO A FINE NOT EXCEEDING THE
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EQUIVALENT OF SIX (6) MONTHS' SALARY OR
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SUSPENSION NOT EXCEEDING ONE (1) YEAR, OR
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REMOVAL DEPENDING ON THE GRAVITY OF THE
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OFFENSE."
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Section 3. Separability Clause. - Should any provision of this Act be held
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unconstitutional, no other provision hereof shall be affected thereby.
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Section 4. Effectivity. -This Act shall take effect fifteen (15) days after its
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publication in at least two (2) newspapers of general circulation.
Approved,