No price increases with biodiesel launch

The Philippine Biofuels Act took effect on May 6 without adjustments in fuel prices. Prices for the coconut-methyl ester (CME) biodiesel blend ranged from Php31.37 (US$0.67) to Php34.65 (US$0.74) per liter. But industry estimates show that price increases for the fuel blend are possible in the near future due to adjustments in world crude prices and costs on technology upgrades that could lead to a Php0.30-Php0.50 (US$0.006-US$0.01) pump price increase. The initial implementation of Republic Act (RA) 9367, or the Biofuels Act, signed by President Gloria Macapagal-Arroyo in January, so far covers only a 1% CME blend. (May 7, 2007)