A circular that will require suppliers of liquefied petroleum gas (LPG) a compliance certificate before it can sell LPG products has been issued by the Department of Energy (DOE).
In a statement, the DOE said that it has issued a circular that requires LPG industry players to secure a Standard Compliance Certificate (SCC), which states that “all importers, suppliers, refiners, refillers, marketers, distributors, haulers/transporters, handlers, storers, retailers, sellers and dealers of LPG must have an SCC to be able to transact and sell with other LPG industry players and consumers.”
This circular, according to the DOE, will serve as a safeguard for LPG customers as it will discourage those who are illegally selling LPG without proper clearances.
Violators of the disclosure will be sanctioned with administrative charges and fines by the DOE, while all existing LPG establishments shall be given three months from the effectivity of the circular to fully comply.
Meanwhile, the DOE noted that the decision not to include the Shell Gas Eastern Inc. (SGEI) facility in the sale of Shell’s domestic LPG business to Isla Gas, and its decommissioning since November 2013, will only have an isolated effect to independent refillers and marketers.
The DOE emphasizes that LPG supply in the country is sufficient, including in Southern Luzon.
”There is sufficient supply of LPG in the entire country despite some companies’ divestment in the LPG industry, which is, as we understand are business decisions,” Energy Secretary Carlos Jericho Petilla said.
The DOE further specified that Solane has contracted its requirements with Liquigaz in Bataan to fill the supply gap due to the SGEI facility closure.
On the fear of a consequent congestion of trucks at the Bataan terminal, Isla Gaz has informed DOE that some of their contracted volumes with Liquigaz will be dispensed through tankers and barges to other LPG outposts/depots.
”The DOE continues to implement its monitoring and close coordination with industry players to ensure sufficient supply in the market,” Petilla said.