DOE warns unlicensed LPG distributors of stiff penalties

The Department of Energy (DOE) on Tuesday warned of stiff penalties for unauthorized sellers of liquefied petroleum gas (LPG).

DOE Senior Science Research Specialist Robert Cardinales over the weekend reiterated that those found selling LPG without a license to operate will be penalized with a daily fine of P5,000.

Repeat offenders may face criminal charges, business closure, and a lifetime ban from participating in the LPG industry, he added.

The deadline for securing proper licenses under Republic Act No. 11592 or the LPG Industry Regulation Act expired on July 6, 2023, with around 90% of local distributors yet to get their licenses, according to an LPG resellers group.

The Federation of Affordable Independent Refillers and Resellers of Liquefied Petroleum Gases in the Philippines Incorporated asked the DOE for an extension but their appeal was rejected.

“Wala pong extension [pero] hindi po ibig sabihin na bawal na po mag-apply. Kaya lang of course paso ang lisensya mo ngayon,” said DOE Oil industry Management Bureau Director Rino Abad.

(There’s no extension but that doesn’t mean they cannot apply. Of course, they have no license now.)

“Kung magbebenta sila at their own risk kung mapasyalan sila at ma-inspect. Kasi pag na-inspect yan, mape-penalize,” he said.

(They can sell at their own risk. If they’re inspected then they will be penalized.)

Meanwhile, Cardinales said they have been conducting nationwide surprise inspections since July, covering retailers, dealers, refillers, transporters, refineries, and importers.

He also stressed that Energy Department is still accepting and processing applications for permits to qualified LPG businesses.

Enacted in October 2021, the LPG Industry Regulation Act aims to re-regulate the previously deregulated LPG industry, except for pricing. — Sundy Locus/BM, GMA Integrated News