DA backs transition to 5 percent coco biofiesel blend. (Photo from the Philippine News Agency)
Mandated under Republic Act 9367, or the Biofuels Act of 2006, the Department of Agriculture (DA) is pushing for an immediate shift to a 5-percent coco-biodiesel blend (B5) from the current 3 percent as a means of enhancing the government’s goal of achieving energy security and at the same time revitalize the local coconut industry.
According to agriculture secretary Francisco Tiu Laurel Jr., they have already endorsed to legislators and the Department of Energy (DoE) a policy resolution calling for the shift after the Philippine Council for Agriculture and Fisheries-National Sectoral Committee passed Resolution 03 series of 2026 to advance environmental sustainability and enhance energy security.
“The resolution is backed by the private sector and we have transmitted it to Senate agriculture committee chairman Francis Pangilinan and energy secretary Sharon Garin, who also chairs the National Biofuels Board (NBB),” Tiu Laurel announced.
“The shift will promote blending coconut methyl ester (CME)—a biodegradable biodiesel derived from coconut oil—into petroleum products. CME emits significantly less sulfur and greenhouse gases than conventional diesel,” the agr chief added.
The NBB previously imposed a temporary halt to the transition following a 300-percent spike in international coconut oil prices, but the DA said current market conditions now allowed it to proceed.
“While B5 is a long-term market intervention rather than an immediate remedy for high fuel prices—with local prices expected to take six to 12 months to stabilize amid global supply chain disruptions—industry experts consider it a crucial step,” Tiu Laurel pointed out.
“By promoting the shift to coco-biodiesel, we expect it to stabilize agricultural prices and raise the income for an estimated 2.5 to 3.5 million coconut farmers,” he noted.
Moreover, the secretary described the decision as more than a step toward meeting international standards but a meaningful investment in the future of millions of Filipino farmers, workers and families who rely on the coconut industry for their livelihood.
“This will also reduce our dependence on imported fuels,” he pointed out.
For his part, Philippine Coconut Authority (Philcoa) administrator Dexter Buted expressed support, saying the resolution could significantly boost the coconut industry and the livelihoods it sustains.
