DC2022-11-0037 (LPG Registration and License to Operate Guidelines)
Full title: Guidelines on the Registration and Issuance of License to Operate to Qualified DOE-Regulated LPG Industry Participants and Penalizing Certain Prohibited Acts
Issued: November 2022 Signed by: Secretary Raphael P.M. Lotilla Enabling law: RA 11592 (LPG Industry Regulation Act of 2021) Implementing bureau: Oil Industry Management Bureau (OIMB), DOE
32 pages, 9 Rules, 42 Sections.
Summary
DC2022-11-0037 is the primary implementing circular for RA 11592 covering DOE’s regulatory functions over the LPG supply chain. It operationalizes the registration and License to Operate (LTO) requirements for all 11 types of DOE-regulated LPG industry participants and specifies the reportorial obligations, enforcement powers, and penal provisions.
Rule 1 — General Provisions (Sections 1–3)
Scope (§1): Applies to pre-construction registration (Refineries, Terminals, Depots, Refilling Plants, Centralized LPG Piping Systems); trademark/trade name registration; LPG seal registration; issuance of License to Operate; reportorial requirements; enforcement actions; and publication of valid/suspended/revoked LTOs. [DC2022-11-0037, Section 1, 2022-11]
11 types of DOE-regulated LPG industry participants (§1.3): Importer, Refiner, Bulk Distributor, Terminal/Depot owner/lessor, Hauler, Refiller, Trademark owner or Marketer, Dealer, Retailer, Auto-LPG Dispensing Station owner/operator, Centralized LPG Piping System owner/operator. [DC2022-11-0037, Section 1.3, 2022-11]
Key definitions (§3): Comprehensive — includes LPG, LPG Pressure Vessel, Auto-LPG, Bulk Consumer, Bulk Supplier, Cross-filling, Defective Pressure Vessel, LPG Cylinder Improvement Program, LPG Cylinder Exchange and Swapping Program, EVOSS (defined as RA 11234), OIMB (defined as the Oil Industry Management Bureau of the DOE), Trademark Owner, and Trade Secret. [DC2022-11-0037, Section 3, 2022-11]
Rule 2 — Responsibilities of LPG Industry Participants (Sections 4–17)
General responsibilities (§4): All participants must ensure PNS compliance, follow DOE/DTI orders, transact only with licensed participants, and maintain a responsible person on-site at all times. [DC2022-11-0037, Section 4, 2022-11]
Sector-specific responsibilities: Each participant type has tailored obligations:
| Participant | Key obligations |
|---|---|
| Bulk Supplier (§5) | Stable LPG supply; certify contracts to DOE; BIR invoices; display LTO |
| Bulk Distributor (§6) | Stable supply; certify contracts; periodic requalification of vessels + calibration of measuring devices |
| Hauler (§7) | DOE vehicle list; certify contracts; comply with DOE DC2013-09-0022 safety standards; display board |
| Refiller (§8) | Fill under own/authorized trademark; accurate net content; weight + leak test before leaving plant; refuse non-PNS cylinders + cartridges; check dealer compliance |
| Trademark Owner/Marketer (§9) | Register color/marking scheme + seal + manufacturer; maintain/repair vessels through licensed operators; servicing + technical assistance to dealers/retailers |
| Dealer (§10) | Carry only authorized trademark; sell only with authorized seal; price display board |
| Retailer (§11) | Same as dealer at retail level; request QSP from marketer/dealer for end-consumers |
| Terminal/Depot/Auto-LPG/Centralized Piping (§12) | Sustainable investment, reliability, efficient operation |
[DC2022-11-0037, Sections 5–12, 2022-11]
LPG Pressure Vessel ownership (§13): Bulk storage tanks = Bulk Supplier/Distributor or terminal/depot owner-lessor; LPG cylinders = Trademark Owner/Marketer (by permanent or durable marking per IPO registration); cartridges = Trademark Owner/Marketer; Auto-LPG containers = motor vehicle owner. [DC2022-11-0037, Section 13, 2022-11]
Rule 3 — Certificate of Registration (Sections 18–24)
All registration applications comply with EVOSS timelines and citizen’s charter. OIMB and FOs maintain registries for monitoring. [DC2022-11-0037, Section 18, 2022-11]
| Registration Type | Section | Key requirement |
|---|---|---|
| Pre-construction (Refinery/Terminal/Depot/Refilling Plant/Centralized Piping) | §18 | Must register before commencing construction; Annex 1 |
| LPG Trademark or Trade Name | §19 | Must have prior IPO registration under RA 8293; simultaneous with LPG seal registration + LTO application; Annex 2 |
| Authority to cross-fill (third-party trademark) | §20 | Per refilling plant; LTO revocation = automatic cross-fill authority revocation; Annex 3 |
| Authority to sell (Dealer/Retailer trademark) | §21 | Per trademark per outlet; LTO revocation = automatic trading authority revocation; Annex 4 |
| LPG Seal | §22 | DTI-accredited manufacturer/importer only; simultaneous with trademark + LTO application; Annex 5 |
| Bulk Consumer | §23 | Annex 6; OIMB/FO registry |
| Authorized Transport Vehicles and Marine Vessels | §24 | Must carry certified true copy of registration during inspection; Annex 7 |
Rule 4 — License to Operate (Section 25)
LTO validity: five (5) years — renewable; DOE has exclusive authority; site/activity-specific. [DC2022-11-0037, Rule 4, 2022-11]
⚠ Discrepancy note: The Digest: RA 11592 — LPG Industry Regulation Act of 2021 wiki page records LTO validity as “3 years” at §6(c) and §24. The DC (which operationalizes the Act’s IRR §22) states “five (5) years.” The DC’s operative text should be verified against the raw source text of RA 11592 §24 — one of these may have an error.
Existing participants must obtain LTO within 6 months of DC effectivity; after 6 months, prior Standards Compliance Certificates (SCC) become void. [DC2022-11-0037, Rule 4 / Section 39, 2022-11]
LTO scope by participant type (§25): Covered by 10 sets of Annexes (A through I). Documentary requirements for Refiners/Importers/Bulk Distributors/Haulers are harmonized with RA 8479 (Downstream Oil Deregulation Act) to avoid duplicate submissions. [DC2022-11-0037, Section 25, 2022-11]
Rule 5 — Standards (Section 26)
All participants comply with standards on products, Ancillary Equipment, facility, and safety practice per Annex J (not reproduced in main DC text). [DC2022-11-0037, Section 26, 2022-11]
Rule 6 — Reportorial Requirements (Sections 27–31)
Trade secrets in reports are protected — DOE prohibited from disclosing. [DC2022-11-0037, Rule 6, 2022-11]
| Report Type | Participants | Key forms |
|---|---|---|
| Monthly (§27) | Refiner, Importer, Bulk Distributor, Bunker Trader, Own User | MR-A through MR-J (supply/demand, inventory, imports/exports, crude oil, sales by region) — harmonized with RA 8479 |
| Quarterly (§28) | Terminal/Depot Owner/Lessor | QR-A (terminal-depot and blending operations) — harmonized with RA 8479 |
| Annual (§29) | All participant types | AR series by participant type (company profile, establishment profile, supply/demand balance, inventory, contracts, vehicle lists) |
| Special (§30) | Refiner, Importer, Bulk Distributor, Terminal-Depot Owner | Maintenance shutdown, calamity/emergency, oil spill — harmonized with RA 8479 |
Jurisdictional split (§31): OIMB handles Refiners, Importers, Bulk Distributors, Terminal/Depot owners, Bulk LPG Haulers, and Trademark Owners. FOs handle Refillers, Dealers, Retailers, Cylinder/Cartridge Haulers, Auto-LPG Stations, Centralized Piping Operators, and Bulk Consumers — by region (Luzon FO: CAR/I/II/III; Visayas FO: VI/VII/VIII; Mindanao FO: IX/X/XI/XII/XIII/BARMM). [DC2022-11-0037, Section 31, 2022-11]
Rule 7 — Enforcement Powers (Sections 32–34)
| Power | Detail |
|---|---|
| Visitorial powers (§32.1) | Inspect premises, seals, vessels in transit, ancillary equipment, motor vehicles |
| Investigation (§32.2) | Motu proprio or on complaint |
| Administrative cases (§32.3) | Show cause order → 10-day written explanation → hearing (optional) or outright penalty; proceedings must not exceed 60 calendar days from show cause to final resolution |
| Criminal cases (§32.4) | Filed in court |
| Preventive suspension (§32.5) | Maximum 45 calendar days during pending proceedings |
| Suspension/revocation/closure (§32.6) | After due notice and hearing |
| Confiscation/impoundment (§32.7–32.8) | Includes non-PNS LPG, underfilled/illegally refilled vessels, non-compliant equipment; 30-day finality from confiscation order; generic cylinders covered by 3-year LPG Cylinder Improvement Program transition period |
| Publication (§34) | OIMB/FOs regularly publish valid/suspended/revoked LTO list |
[DC2022-11-0037, Sections 32–34, 2022-11]
Rule 8 — Penal Provisions (Sections 35–36)
Prohibited acts and penalties per Annex L — incorporates RA 11592 §38–41. Corporate violations: imprisonment on responsible directors/officers; third-time violators permanently disqualified. [DC2022-11-0037, Sections 35–36, 2022-11]
Rule 9 — Final Provisions (Sections 37–42)
- Interpretation in favor of End Consumer (§37)
- Application fee per DOE published schedule; holders of valid SCC issued LTO without new fee (§38)
- Transition period: 6 months to obtain LTO; 6 months to comply with facility/safety standards; standards for product and ancillary equipment: immediate compliance (§39)
- Repealing clause (§41)
- Effectivity: 15 days after complete publication in two newspapers of general circulation + submission to UPLC-ONAR (§42)
Pages Updated
- Digest: RA 11592 — LPG Industry Regulation Act of 2021 — added DC2022-11-0037 as implementing source; LTO validity discrepancy flagged
Full text: Cleaned copy