MANILA, Philippines?Local ethanol producers have asked the government to ensure that all oil companies are strictly complying with the mandated blending and ?absorb-domestic-supply-first? policy before they are allowed to import additional ethanol supply.

The Ethanol Producers Association of the Philippines (Epap) stressed that the Department of Energy must send a ?clear signal? that it could protect local ethanol suppliers?who have already invested billions of pesos in their respective plants?against cheaper imports from Brazil.

Epap executive director Tetchi Capellan said the group actually welcomed the government?s decision to allow oil companies to continue importing ethanol even beyond February 2011. But in doing so, she said, the DOE must ensure that the import guidelines would strictly reinforce the spirit of the law and penalize violators of the Biofuels Law.

?Unless a certificate is issued by DOE attesting to the full adherence by the importer of the blending requirement and compliance to the absorb-domestic-supply-first policy as prescribed by law, no imports should cross the borders,? Capellan explained.

Capellan said the government must convey its decision on the future of the alternative energy program. About P15 billion had been invested in refineries such as San Carlos Bio-energy, Roxol Bio-energy, and Green Futures, she added.

?Seven other plants are currently finalizing their financing deals to build the next refineries. All these investors have to be advised soon. They need to be told if the government wanted them to be part of its energy security agenda, or they should pack and abandon the program,? she said.