RR No. 02-2000: Prescribes the procedures to be adopted during the transition period in the phase-out of leaded gasoline in Metro Manila

Key points

1. Transition period. The period runs from the day of inventory taking, which is done within five (5) days from the effectivity of the Regulations. It lasts not more than forty-five (45) days, or until the leaded gasoline has been diluted to unleaded gasoline, whichever is earlier.
2. Inventory and withdrawals. The BIR takes a physical inventory of leaded and unleaded gasoline at refinery plants and depots/terminals in Metro Manila. It does so with the Department of Energy and in the presence of the oil company’s representative(s). Each removal of the remaining leaded stock needs a Withdrawal Certificate issued by assigned BIR personnel.
3. Weekly report. A weekly report of inventory utilization goes to the Assistant Commissioner of the Excise Taxpayers Service on or before Tuesday of the following week. This continues until the inventories are fully exhausted.
4. Lead content and additional tax. If the stock is exhausted and the remaining diluted gasoline exceeds the maximum lead content of 0.013 gram per liter for unleaded gasoline, each later removal counts as leaded gasoline. An additional tax of P 1.00 Peso per liter is due, paid under RMO No. 99-98, until the tank content meets the maximum.
5. Accounting and commingling. The first-in-first-out method is used for receipt of unleaded gasoline and removal of leaded gasoline from the storage tank. After the transition period, commingling of leaded and unleaded gasoline is prohibited.

Who is affected

• Oil companies with leaded and unleaded gasoline stocks at refineries and depots/terminals in Metro Manila

Deadlines and effectivity

• Inventory taking within five (5) days from effectivity
• Transition period not more than forty-five (45) days or until dilution, whichever is earlier
• Weekly report on or before Tuesday of the following week