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Fuel marking program hits 10-billion-liter milestone

fuel marking program hits 10 billion liter milestone 816x445 - Fuel marking program hits 10-billion-liter milestone

THE government has marked 10.066 billion liters of oil as of July 18 under a fuel marking program designed to deter smuggling, the Department of Finance said.

In a report released by Finance Secretary Carlos G. Dominguez III late Sunday, the Bureau of Customs and the Bureau of Internal Revenue achieved those volumes of fuel marked since September.

Of the total, 75% were marked in Luzon, 20% in Mindanao and 5% in the Visayas.

Fuel marked from Petron Corp. accounted for 23.94% of the total or 2.41 billion liters marked, followed by Pilipinas Shell Petroleum Corp.’s 2.074 billion liters (20.6%); Unioil Petroleum Philippines, Inc. 1.051 billion liters (10.44%); and Seaoil Philippines, Inc. 882.283 million liters (8.7%).

Other oil companies participating in the program are Chevron Philippines, Phoenix Petroleum, Insular Oil Corp., Filoil Energy Company, Inc., Jetti Petroleum, Inc., and PTT Philippines Corp., among others.

Under the program, fuel that has passed the various stages of tax compliance is marked with a special dye. The absence of a marker dye can be taken as prima facie evidence that no taxes were paid on the fuel.

In February, the Finance department estimated that the government can earn P20 billion in additional revenue this year from the fuel marking program.

Between September and June, the 9.1 billion liters marked during the period had an estimated value of P503.579 billion.

Prior to the program’s implementation, the Department of Finance estimated that revenue foregone due to fuel smuggling at between P20 billion and P40 billion a year. — Beatrice M. Laforga

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