The Department of Agriculture (DA) on Monday recommended transitioning to a 5 percent coco-biodiesel blend (B5) to bolster support for the coconut industry and help ensure stable agricultural prices in the long run.
In a statement, DA Secretary Francisco Tiu Laurel Jr. expressed support for a private-sector-backed policy resolution that calls for the immediate transition to a B5 blend.
The endorsement covers resolution No. 03, series of 2026, passed by the Philippine Council for Agriculture and Fisheries–National Sectoral Committee on Coconut, and forwarded to the Senate and the Department of Energy.
“The Department of Agriculture strongly supports the transition to a 5 percent biodiesel blend. This is more than a step toward meeting international standards,” Tiu Laurel said.
The transition to B5 is expected to support an estimated 2.5 to 3.5 million coconut farmers.
“It is a meaningful investment in the future of millions of Filipino farmers, workers, and families who rely on the coconut industry for their livelihood,” he added.
The shift toward higher biofuel blends was mandated under Republic Act 9367, or the Biofuels Act of 2006, which promotes the blending of Coconut Methyl Ester (CME) into petroleum products to revitalize the domestic coconut industry, enhance energy security, and advance environmental sustainability.
CME is biodegradable and non-toxic, and produces significantly lower sulfur and greenhouse gas emissions compared to conventional petroleum diesel.
The law seeks to revitalize the domestic coconut industry, enhance energy security, and advance environmental sustainability.
Earlier, the National Biofuels Board temporarily halted the transition due to a 300 percent spike in international coconut oil prices in the past.
Current market conditions, however, are now seen as favorable for its revival.
Industry experts noted that the B5 blend transition is a critical step as domestic oil prices are expected to take six to 12 months to stabilize amid ongoing global supply chain disruptions. (PNA)