ALBURO ALBURO AND ASSOCIATES LAW OFFICES ALBURO ALBURO AND ASSOCIATES LAW OFFICES

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June 1, 2022

PROHIBITED ACTS UNDER REPUBLIC ACT NO. 9367 OR THE BIOFUELS ACT OF 2006

After reading, Prohibited Acts Under Republic Act No. 9367 or The Biofuels Act of 2006, read also Incentive Scheme Under Republic Act No. 9367 or The Biofuels Act of 2006

  • False labeling of gasoline, diesel, biofuels, and biofuel-blended gasoline and diesel is prohibited

  • Any amount of biofuels that fail to comply with the requirements and the implementing issuances of the Department of Energy (DOE) shall be confiscated

  • The DOE is also empowered to stop and suspend the operation of businesses for refusal to comply with any of its order or instruction

For recollection, as mentioned in our previous article, Republic Act No. 9367 or the Biofuels Act of 2006 mandates that all liquid fuels for motors and engines sold in the Philippines shall contain locally-sourced biofuels components.

Any person or entity found in violation of the mandate shall be subject to appropriate criminal, civil, and/or administrative sanctions.

What are the prohibited acts under the Biofuels Act of 2006?

The law says:

The following shall be prohibited:

  1. Diversion of biofuels, whether locally produced or imported, to purposes other than those envisioned in the Biofuels Act;

  2. Sale of biofuel-blended gasoline or diesel that fails to comply with the minimum biofuel blend by volume in violation of the requirement under Biofuels Act;

  3. Distribution, sale, and use of automotive fuel containing harmful additives such as, but not limited to Methyl Tertiary Butyl Ether (MTBE) at such concentration exceeding the limits to be determined by the National Biofuel Board (NBB);

  4. Non-compliance with the established guidelines of the Philippine National Standards (PNS) and Department of Energy adopted for the implementation of the Biofuels Act; and

  5. False labeling of gasoline, diesel, biofuels, and biofuel-blended gasoline and diesel.

Any person, who willfully aids or abets in the commission of a crime prohibited under the Biofuels Act or who causes the commission of any such act by another shall be liable in the same manner as the principal. In the case of association, partnership or corporations, the penalty shall be imposed on the partner, president, chief operating officer, chief executive officer, directors or officers, responsible for the violation.

Moreover, the commission of the above-mentioned prohibited acts, upon conviction, shall suffer the penalty of one year to five years imprisonment and a fine ranging from a minimum of One million pesos (P1,000,000.00) to Five Million Pesos (P5,000,000.00).

In addition, the Department of Energy (DOE) shall confiscate any amount of such products that fail to comply with the requirements of and implementing issuances of the DOE. The DOE shall determine the appropriate process and the manner of disposal and utilization of the confiscated products. The DOE is also empowered to stop and suspend the operation of businesses for refusal to comply with any order or instruction of the DOE Secretary in the exercise of his functions under the Biofuels Act.


Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.

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