DOE eyes Subic for bioethanol storage

Philippine’s Department of Energy (DOE) said in April that it is in talks with other government agencies over the possible use of facilities in Subic, on the west coast of the island group of Luzon, for bioethanol storage. Zenaida Monsada, director of the DOE’s Oil Industry Management Bureau (OIMB), said the agency would coordinate with the Subic Bay Metropolitan Authority, Bureau of Customs, and Bureau of Internal Revenue to draw up guidelines governing the use of these facilities. These facilities would be useful for oil firms, Monsada said, given the huge volume of ethanol shipments expected to arrive over the next few years. Local oil companies source most of their bioethanol requirements from other countries like Brazil. Currently, local producers have a combined annual capacity of only 39 million liters. However, based on the Philippine Energy Plan for 2007 to 2014, local oil companies will need an estimated 208.11 million liters of ethanol in 2009 to comply with the 5% minimum blend set by law. Currently, the government does not impose tariffs on bioethanol imports. (April 30, 2009)