The Department of Energy (DOE) enjoins all liquefied petroleum gas (LPG) industry players to fully comply with Republic Act No. 11592, or the LPG Industry Regulation Act (LIRA), to avoid substantial administrative and criminal penalties, including business closure and permanent disqualification from engaging in any LPG activity.

The LIRA was enacted to protect the interests of end-consumers and establish standards of conduct for the LPG industry. Towards this end, it institutes reforms in these standards of conduct and the codes of practice for the industry and aims to ensure compliance with the standards for health, safety, security, environment and quality applicable to the activities in the industry.

These activities include the importation, refining, storage, export, refilling, transportation, distribution and marketing of LPG, and the importation, manufacture, requalification, repair, exchange, improvement and scrapping of LPG pressure vessels, LPG seals and other ancillary equipment. Accordingly, all establishments engaged in LPG activities are mandated to comply with the LIRA and applicable rules and regulations of the DOE and the Department of Trade and Industry (DTI).

As a deterrent to unauthorized activities that may lead to adverse consequences to public health, public safety, security and environment, the LIRA provides substantial administrative and criminal penalties, including fines of up to PhP100,000 for every non-compliant item, material or equipment, such as LPG seal or pressure vessel, business closure and permanent disqualification, and imprisonment of up to 12 years.

Since 2023, the DOE has been committed to its legal mandate to regulate, supervise, and monitor the compliance of LPG industry participants and to perform its enforcement powers under the LIRA. As of date, there have been a number of LPG industry participants that have been administratively charged and imposed fines and penalties for violation of the LIRA.

Accordingly, all LPG industry participants are enjoined to comply with their obligations under the LIRA, DOE-DTI Joint Department Circular (JDC) No. JDC 2022-05-0001,[1] DOE-DTI JDC No. JDC2022-11-0002,[2] DOE Department Circular (DC) No. DC2022-11-0037,[3] and DOE DC No. 2023-08-0025. [4] These include, but are not limited to, securing the necessary licenses, permits and certifications from the DOE and other relevant agencies and strict compliance with safety and quality standards for all LPG facilities, equipment, pressure vessels, and seals.

“These penalties are designed to protect consumers, prevent hazardous incidents, and maintain the integrity of the LPG industry sector,” DOE Undersecretary Alessandro O. Sales emphasized. “By enforcing strict safety measures, we ensure that only legally sourced and properly handled LPG products reach the market, underscoring the government’s unwavering commitment to public safety and product quality,” he added.

The DOE remains steadfast in its mission to ensure a safe, high-quality and reliable LPG supply for all consumers. “By working collaboratively with industry stakeholders and strictly enforcing LIRA regulations, we are fostering a safer environment built on responsible LPG practices,” Undersecretary Sales said. ###