MANILA, Philippines - Oil refiner Petron Corp. has won the bidding for the contract to supply the fuel requirements of the Department of National Defense (DND) for this year.
The DND issued a notice of award to Petron last Feb. 13, according to documents shown to The STAR.
A notice of award could only be issued if the bidder meets the requirements set by the agency that undertook the procurement.
The DND allotted P4.65 billion for the fuel purchase project.
Petron offered to supply the fuel requirements for P3.915 billion, lower by more than P700,000 than the approved budget for the project.
The bidding for the project was held last December and attracted three bidders.
The fuel supply project was divided into three lots.
The first lot has a budget of P3.28 billion and involves the purchase of the DND’s petroleum requirements. The second lot covers the agency’s oil and lubricant requirements and has an outlay of P367.24 million.
The acquisition of e-POL (petroleum, oil and lubricant) card requirements constitutes the third lot, which has a budget of more than P1 billion.
Petron, the largest oil refiner in the country, also won the bidding for the supply of the military’s fuel requirements in 2014.
Last year’s fuel procurement had an approved budget of about P4 billion and was divided into six projects based on the location of military and defense units.