Philippines Pushes for B5 Coconut Biodiesel Amid Rising Energy Prices

Amid rising energy prices driven by global conflicts, the Philippines is reassessing its biofuel strategy. In its Q1 2026 meeting, the National Coconut Sector Council (NSC) endorsed the full implementation of the Biofuels Act and advocated for an immediate transition to a 5% coconut biodiesel blend (B5). While B5 is unlikely to provide a short-term solution to high fuel prices, it offers long-term benefits such as improved engine performance, better fuel efficiency, and enhanced energy self-sufficiency, ultimately helping to reduce costs over time.

Since the Biofuels Act was enacted in 2007, blending mandates have gradually increased. However, a sharp surge in global coconut oil prices—rising over 300%—has prompted authorities to pause the planned transition to higher blends like B4 and B5. According to a 2025 advisory from the Department of Energy, the current mandate remains at B3 to prevent potential spikes in retail fuel prices. Future policy direction will depend on balancing feedstock costs with national energy security goals.