Philippine ethanol producers back document on imports

(SeeNews) – Dec 8, 2011 - The Ethanol Producers Association of the Philippines (EPAP) has thrown its weight behind a draft circular on ethanol imports, proposed by the Energy Department, BusinessWorld Online said on Wednesday.
The document, which has been backed in a letter by EPAP's chairman Jose Maria T. Zabaleta, regulates the sourcing of ethanol, the amount of ethanol to be blended with fuels, as well as its pricing formula. Producers hope that the circular will spur investments into the local ethanol sector. In his letter, Zabaleta hailed the document as comprehensive piece of regulation which responds to concerns of all players in the sector.
Currently, oil companies are required to blend ethanol and petrol. Under the present rules, ethanol should account for 10% of the contents of mid-octane fuels. This requirement would apply to all fuels from next year.
The present rules also oblige oil firms to source part of the ethanol to blend it with petrol from local producers. The proportion is based on the share an oil firm has of the market.
The final version of the circular, on which the Energy Department and the National Biofuels Board (NBB) are still working, is due to be released this week.

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