DOE Mandates Increase in Coco Methyl Ester Blend in Diesel Starting October
The Department of Energy (DOE) has mandated an increase in the coco methyl ester (CME) blend in diesel fuel starting in October.
According to Department Circular No. 2024-05-0014, the DOE requires downstream oil industry participants to raise the CME blend to 3% from the current 2% in diesel fuel sold nationwide, effective October 1, 2024.
According to GMA News Online, the CME percentage blend will then increase to 4% by October 1, 2025, and ultimately to 5% by October 1, 2026.
The Energy Department said the move aims to decrease dependence on imported fuels, reduce greenhouse gas emissions, and support the local biodiesel and bioethanol sectors.
“The increase in the CME blend is expected to create additional markets for coconut farmers, biodiesel producers, and other stakeholders in the coconut industry, with around 900 million additional nuts as feedstocks to produce around 100–120 million liters of additional CME requirements to satisfy a 1% mandatory increase in the CME blend,” the DOE said.
“Moreover, based on a 30,000-kilometer on-road test with a higher CME blend of 5%, an increase of around 10% in mileage corresponds to an estimated net savings of P4.17 per liter of diesel,” it said.