The Independent Philippine Petroleum Companies Association (IPPCA) has expressed its support to the use of a liquid chemical substance that would mark imported kerosene and other oil products entering the country.
However, IPPCA chairman Fernando Martinez said his group’s preference is for the Department of Energy (DOE) to implement the scheme and not Switzerland-based SGS (Societe Generale de Surveillance SA).
Martinez said the group is not in favor of tapping the services of SGS. “What we want is for the DOE to implement the scheme.”
He said IPPCA is willing to shoulder part of the cost of the project if it is the DOE that would implement the scheme.
Earlier, Customs Commissioner Napoleon Morales said the government has already tapped SGS to implement the scheme.
The fuel marking scheme would be pilot tested at the Subic Bay Freeport Zone, Clark Special Economic Zone and the Port of Batangas.
Finance Secretary Margarito Teves, for his part, said the government is set to implement the order in November.
The move is meant to help curb oil smuggling which has translated to at least P4.7 billion in revenue losses for the government from January to July last year.
According to Finance Department Order 23-07, the Bureau of Customs (BOC) will mark imported kerosene and fuel oil products which enter the country duty-free using a liquid chemical substance.