Caltex eyes phased reduction of Pandacan petro terminal

Caltex Philippines Inc. announced yesterday that it is considering a phased reduction of its Pandacan terminal, a move which the company says could help resolve concerns raised by the local community and offset the potential interruption of oil supplies in Luzon.

"One alternative was a trimmed down facility which would be an integral part of the phase reduction implemented over a specified time period," Caltex country chairman Timothy Leveille said.

Leveille said using this approach would ensure uninterrupted product flow to the National Capital Region (NCR) and three additional regions in Luzon.

He said this move would also eliminate hundreds of trucks that would have to be employed throughout Metro Manila if the terminal were to be totally shut down due to an ordinance that takes effect end of June.

"A phased reduction at Pandacan would initially involve trimming down the existing facilities to a pre-determined, reduced working environment currently utilized by the oil majors," he said.

Leveille added that public hearings and concerns over Pandacan held by the city council and Manila Mayor Lito Atienza, late last year were not unheeded, and in fact, were in line with the company’s current actions.

"We are keenly aware of the challenges we face to find the most optimal business, as well as acceptable community solution," he said. "On one side, Pandacan is the major terminal to supply Luzon, and any interruption would severely impact the regions. On the other hand, as a responsible corporate citizen, we recognize our role to ensure our facilities continue to maintain the highest standards and are accepted by the local communities in which we operate."

He added that the company intends to work closely with the mayor, the Manila city council and the Department of Energy to ensure that these two important objectives are in alignment and "in the best interest of the Filipino people."

Leveille said that an additional benefit of the phased reduction– a green belt around Pandacan’s perimeter–could be constructed to enhance the local environment.