Letter of Instructions No. 839


TO    :   Minister of Energy

             Minister of Finance

Under Presidential Decree Nos. 1609 and 1610 the importation of liquefied petroleum gas, motor gasoline, naphtha and natural gas liquids was exempted from Customs duties and other importation taxes and charges in view of the fuel supply emergency.


Presently, this emergency still subsists and the country is constrained to procure its fuel requirements at spot prices which are prohibitive and much higher than the official OPEC quotations.


While it is true that domestic prices of refined petroleum products have recently been adjusted, the adjustments were insufficient to offset the impact of the higher spot prices of both crude oil and refined petroleum products.


Accordingly, as conceived in P.D. No. 1610, whereby the tax and duly free importation of petroleum products, the supply of which becomes critical during the emergency period may be allowed, it is hereby directed that notwithstanding the recent adjustments of the domestic prices of refined petroleum products, the importation of liquefied petroleum gas, motor gasoline, naphtha and natural gas liquids by persons or entities duly authorized by the Bureau of Energy Utilization shall continue to be free from customs duties and other importation taxes and charges for the duration of the present supply emergency.  Moreover, the importation of diesel fuel as well as kerosene shall be similarly exempt from these import duties and charges as of this date in view of the fact that the supply of these products has become critical. 


Such duty free importation shall continue until the President of the Philippines, upon recommendation of the Minister of Energy, shall have determined that the supply emergency has ceased.


This Letter of Instructions shall take effect immediately.


Done in the City of Manila, this 31st day of March, in the year of Our Lord, nineteen hundred and seventy-nine.


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Last revised:  February 26, 2016 11:32 PM.


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