AMENDING BATAS PAMBANSA B1LANG 33, ENTITLED “AN ACT DEFINING AND PENALIZING CERTAIN PROHIBITED ACTS INIMICAL TO THE PUBLIC INTERESTS AND NATIONAL SECURITY INVOLVING PETROLEUM AN…

WHEREAS, Batas Pambansa Bilang 33 defines and penalizes
certain prohibited acts inimical to the public interest and national security
involving petroleum and/or petroleum products;

WHEREAS, adulteration of finished petroleum products or
possession of adulterated finished petroleum products for the purpose of sale,
distribution, transportation, exchange or barter; and underdelivery or
underfilling beyond authorized limits in the sale of petroleum products or
liquefied petroleum gas cylinders are pernicious practices that are rampant and
widespread;

WHEREAS, there is an urgent need to curb, if not totally
eliminate, such nefarious practices in the industry in order to better protect
the consuming public;

WHEREAS, it is necessary to provide the implementing
government agencies with increased administrative and criminal penalties with
which it can effectively curtail petroleum product adulteration and shortselling
as well as other prohibited acts and activities involving petroleum and/or
petroleum products which are inimical to public interest and national
security;

WHEREAS, in view of the foregoing considerations, it has
become necessary to amend certain provisions of Batas Pambansa Bilang 33, as
well as to provide, new provisions in the law;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers vested in me by the Constitution, do hereby
order and decree as follows:

SECTION 1. Section two of Batas Pambansa Bilang 33, as
amended, is further amended to read as follows:

“SEC. 2. Prohibited Acts. — The following acts are
prohibited and penalized.

“(a) Illegal trading in petroleum and/or petroleum products;

“(b) Adulteration of finished petroleum products, or possession of
adulterated finished petroleum products for the purpose of sale, distribution,
transportation, exchange or barter;

“(c) Underdelivery or underfilling beyond authorized limits in the sale of
petroleum products or possession of under Pilled liquefied petroleum gas
cylinder for the purpose of sale, distribution, transportation, exchange or
barter;

“The oil company, petroleum refiller, marketer, dealer and retailer, as the
case may be, and the hauler shall be responsible for the quantity and quality of
the petroleum product delivered when the same is sold on delivered basis.

“For the purpose of this subparagraph, the existence of the facts hereunder
shall give rise to the following presumptions:

“1) That cylinders containing less than the required quantity of liquefied
petroleum gas which are not properly identified, tagged and set apart and
removed or taken out from the display are and made accessible to the public by
marketers dealers, sub-dealers or retail outlets are presumed to be for
sale;

“2) In the case of a dispensing pump in a petroleum product retail outlet
selling such products to the public, the absence of an out-of-order sign, or
padlock, attached or affixed to the pump to prevent delivery of petroleum
products therefrom shall constitute a presumption of the actual use of the pump
in the sale or delivery of such petroleum products; and

“3) Where the seal, whether official or of the oil company, affixed to the
dispensing pump, tank truck or liquefied petroleum gas cylinder, is broken, or
is absent or removed, it shall give rise to the presumption that the dispensing
pump is underdelivering, or that the liquefied petroleum gas cylinder is
underfilled, or that the tank truck contains adulterated finished petroleum
products or is underfilled;

“The use of such pumps, cylinders or containers referred to in sub-paragraph
(1), (2), and (3) of this sub-paragraph, to deliver products for sale or
distribution shall constitute prima facie evidence of intent of the hauler,
marketer, refiller, dealer, retailer outlet operator to defraud;

“[(b)] (D) Hoarding of petroleum and/or petroleum products;

“[(c)] (E) Overpricing in the sale of petroleum products;

“[(d)] (F) Misuse of petroleum allocations;

“[(e)] (G) Speed contests and rallies involving mainly the use of motor
vehicles, motor-driven water-craft or aircraft utilizing petroleum-derived
fuels, including car and motorcycle rallies and drag racing, without the permit
from the bureau of energy utilization; and

“[(f)] (H) Sky-diving, and water skiing except when methanol is used for the
power-boat operation.”

SEC. 2. Section three of the same Act is hereby amended to
read as follows:

“SEC. 3. Definition of terms. — For the purpose of
this Act, the following terms shall be construed to mean:

“Illegal trading in petroleum and/or petroleum products” —

“(A) the sale or distribution of petroleum products [for profit] without
license or authority from the [Government] Bureau of Energy Utilization;

“(B) non issuance of receipts by licensed [traders] oil companies, marketers,
distributors, dealers, sub-dealers and other retail outlets, to final consumers;
provided: that such receipts, in the ease of gas cylinders, shall
indicate therein the brand name, tare weight, gross weight, and price
thereof;

“(C) Refilling of liquefied petroleum gas cylinders without authority from
said bureau, or refilling of another company’s or firm’s cylinders without such
company’s or firm’s written authorization;

“(D) Making or using in such cylinders a tare weight other than the actual or
true tare weight thereof;

“(E) Violation of rules and regulations of said bureau regarding the
implementation of this Act;

“(F) Removal or unloading of petroleum products from any lorry, tank truck or
delivery vehicle by any person other than the contracted purchaser, or in
premises of the purchaser’s retail outlet or business establishment;

“(G) Use of a pump metering” unit which has not been properly calibrated and
sealed by the office of the city or municipal treasurer where the station or
outlet is located, or by the national science and technology authority (NSTA),
or by any other government agency authorized therefor, or in the absence thereof
by the oil company; and

“(H) Use of a tank truck, lorry, hauling vehicle, or other conveyor other
than vessels or barges for the delivery of petroleum products which, has not
been registered with the bureau of energy utilization and the tanks, containers
or compartment thereof are not properly calibrated and sealed by the national
science and technology authority or any other government agency authorized
therefor [misrepresentation as to quality and/or quantity; and sale by oil
companies, distributors and/or dealers violative of government rules and
regulations]

“Petroleum fuel product adulteration” — The mixing of any petroleum
product with another finished or unfinished petroleum, product or stock or with
any non-petroleum substance or material that will result in product quality
change, or resulting in the failure of such finished petroleum product to meet
the required product specifications as prescribed by the products standards
agency of the Ministry of Trade and Industry, for the purpose of this
definition, finished petroleum product refers to any of the following: Premium
gasoline, regular gasoline, aviation gasoline, aviation turbo fuel, kerosene,
diesel fuel, industrial fuel or package lube oils. This definition shall not
apply to alcogas mixture and oil emulsions.

“Underfiling or underdelivery” Refers to a sale, transfer, delivery or
filling of petroleum products of a quantity that is actually beyond authorized
limits than, the quantity indicated or registered on the metering device of
container. This refers, among others, to the quantity of petroleum products
delivered by metered dispensing pumps in petroleum retail outlets or to
liquefied petroleum gas in cylinder or to lube oils in packages.

“Hoarding” — the undue accumulation of a trader of petroleum and/or
petroleum products beyond his or its normal inventory levels, and/or unjustified
refusal to dispose of, sell or distribute the same to consumers; or the
unreasonable accumulation by a person other than a trader of petroleum and or
petroleum products.

“Overpricing” — the sale of petroleum and/or petroleum products at
prices in excess of those duly authorized by the [Government] Board of
Energy.

“Misuse of allocation” — the sale, transfer or diversion of mandated
petroleum fuel allocation by oil companies, distributors, dealers or consumers
contrary to the declared intent of the Government in making such
allocation.”

SEC. 3. The same Act is Further amended by inserting between
Sections three and four thereof, a new Section which shall read as follows:

“SEC. 3-A. Rules and Regulations; Administrative Sanctions
for violation thereof. The Bureau of Energy utilization shall issue such rules
and regulations as are necessary to carry into effect the provisions of this
act, subject to the approval of the Minister of Energy, after consultation with
the affected industry sectors. Said rules and regulations shall take effect
fifteen (15) days from the date of its publication in two (2) newspapers of
general circulation.

“The Bureau of Energy utilization is empowered to impose in an administrative
proceeding, after due notice and hearing, upon any person who violates any
provision of such rules and regulations, a fine of not more than ten thousand
pesos (P10,000.00) or to suspend or remove the license or permit of a hauler,
marketer,” refiller, dealer, sub-dealer or retail outlet: provided,
that hearing in any administrative proceedings may be waived by respondent.
Provided, further, that during the pendency of such administrative,
pro-ceeding, the bureau may suspend the business operations of such hauler,
marketer, refiller, dealer, sub-dealer or retailer or retail outlet operator
when the suspension is consistent with public interest. Administrative
proceedings shall be decided within thirty (30) days after filing of the last
responsive pleading by the respondent, or termination and completion of the
administrative proceeding.

“All law enforcement and other concerned agencies of the government shall
assist the Bureau of Energy utilization in the implementation of this
section.

“The administrative sanction, that may be imposed shall be without prejudice
to the filing of a criminal action as the case may warrant.”

SEC. 4. Section four of the same Act is amended to read as
follows:

“SEC. 4. Penalties. — Any person who commits any
act herein prohibited shall, upon conviction, be punished with a fine of not
less than [two] TWENTY thousand pesos [P2,000] (P20,000) but not more than (Ten)
FIFTY thousand pesos [P10,000], (P50,O00), or imprisonment of at least two (2)
[months] YEARS but not more than [one (1)] FIVE (5) years, or both, in the
discretion of the court. In cases of second and subsequent conviction under this
act, the penalty shall be both fine and imprisonment as provided
herein. Furthermore, the petroleum and/.or petroleum products subject matter of
the illegal trading, adulteration, shortselling, hoarding, overpricing [and] OR
misuse, shall be forfeited in favor of the Government: Provided, That
if the petroleum and/or petroleum products have already been delivered and paid
for, the offended party [the payment made] shall be indemnified twice the amount
paid [the subject of forfeiture] and if the seller who has not yet delivered has
been fully paid, the price received shall be returned to the buyer with an
additional amount equivalent to such price; and in addition, if the offender is
[a trader] an oil company, marketer, distributor, refiller, dealer, sub-dealer
and other retail outlets, or hauler, the cancellation of his license.

“Trials of cases arising under this Act shall be terminated within thirty
(30) clays after arraignment.

“When the offender is a corporation, partnership, or other juridical person,
the president, general manager, managing partner, or such other officer charged
with this management of the business affairs thereof, or employee responsible
for the violation, shall be criminally liable, in case the offender is an alien,
he shall be subject to deportation after serving the sentence.

“If the offender is a government official or employee, he shall be
perpetually disqualified from office.”

SEC. 5. All laws, decrees, orders, instructions, rules and
regulations which are inconsistent with, or contrary to, the provisions of this
Act are hereby repealed or modified accordingly.

SEC. 6. This Decree shall lake effect upon its approval.

Done in the City of Manila, this 25th day of May in the year of Our Lord,
nineteen hundred and eighty-three.

			(Sgd.) FERDINAND E. MARCOS President Republic of the Philippines
	By the President:
	(Sgd.) JUAN C. TUVERA
		Presidential Executive Assistant