Monday, 21 April 2025, 8:31 am

    DOE monitoring fuel retailer compliance to higher biodiesel blend

    The Department of Energy (DOE) on Tuesday committed to strictly monitor retailer compliance to higher coco methyl ester (CME) blend of 3 percent (B3) on all diesel products sold in the country.

    DOE Undersecretary Allesandro Sales told a public forum the Oil Industry Management Bureau (OIMB) is monitoring compliance to ensure lower carbon emission levels and cost savings for motorists.

    Sales said the OIMB monitoring liquid fuels and liquefied petroleum gas is actively monitoring bulk terminals where diesel is sourced before delivery to various retail stations.

    The DOE acknowledged the adjusted blend raises the cost of diesel fuel but gave assuran the mandate has more benefits in the long run.

    “It directly affects diesel price but the true gauge is the mileage or the efficiency of running the diesel engine. The increased blend helps make possible up to 10 percent more mileage,” Sales said.

    Sales said the increase in diesel prices due the adjusted blend is less than one percent and that its benefits in terms of mileage and lesser carbon emission make this a positive development.

    “A one percent increase in blend causes a 0.65 percent reduction in emissions. Since the biodiesel blend is increased to 3 percent, emissions will be reduced by almost 2 percent. That will also help us against this climate change crisis,” Sales explained.

    The 3 percent CME blend was made effective 1 October from 2 percent. This will further increase to 4 percent in October 2025 and to 5 percent in October 2026.

    The biodiesel blend DOE should also benefit coconut farmers, biodiesel producers and other stakeholders in the coconut industry. Some 900 million more coconut nuts are needed to produce 100 to 120 million liters of biodiesel to meet the mandatory 1 percent biodiesel component.

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