Pilipinas Shell Petroleum Corp.’s Northern Mindanao Import Facility in Cagayan de Oro became the first facility in Mindanao to undergo the government’s fuel marking program with a total of 60 million liters being marked.
The marking on November 24, the first conducted by Pilipinas Shell, was witnessed by officials of the Bureau of Customs and representatives from project contractor SGS-SICPA. This is the sixth batch of imported fuel to be marked.
The government also conducted a preliminary inspection of the Davao terminals of Phoenix Petroleum Corp. and Insular Oil.
Other petroleum companies whose facilities have undergone initial fuel marking are Seaoil, Pure Petroleum Corp., Phoenix Petroleum Corp., Unioil Petroleum Philippines, and the entire network of Chevron Philippines, Inc.
Marking of fuel products, whether imported or manufactured in the Philippines, becomes mandatory five years after the Tax Reform for Acceleration and Inclusion (TRAIN) law took effect January 2018.
Formally launched last February, the fuel marking program also includes random field testing and confirmatory tests to check for compliance of the fuel required to be marked.
READ: PH fuel marking program implementing rules released
Six months after the initial marking, all petroleum products found in the domestic market, including those stored in storage tanks, depots and terminal facilities, will be tested for compliance with the fuel marking program.
This means that by February 3, 2020, all gasoline, diesel and kerosene products are expected to have been completely marked.
BOC and Bureau of Internal Revenue personnel will then start field testing, and if necessary, impose penalties on oil companies proven to have unmarked, adulterated and/or diluted fuel.
The Department of Finance expects to collect an additional P20 billion in revenues with the full implementation of the fuel marking system next year.