The wide use of liquefied petroleum gas (LPG) as automotive fuel in the country was promoted for its environmental benefits as early as 2002, three years after the passage of the Clean Air Act.
In a position paper that year, the Philippine Liquefied Petroleum Gas Association Inc. noted that LPG has lesser greenhouse gas emissions such as carbon monoxide and nitrogen oxide that contribute to global warming compared to gasoline and diesel.
The umbrella organization for LPG industry players also added that LPG readily dissipates in the air, so it does not adversely affect soil and water in case of leakage unlike gasoline and alternative fuels such as ethanol or methanol, which is not soluble in water.
The association cited the use of LPG in more than 4 million vehicles in over 40 countries, consuming 10 million tons a year. Galloping oil prices prompted the shift, along with environmental concerns.
In 2005, The Department of Energy (DOE) revealed it was working on a policy framework to regulate the different components of an autogas program implementation, including safety regulation.
18,731 taxis on LPG
In 2008, with about 7,000 vehicles running on LPG, the Arroyo administration launched a P1-billion engine program to help owners of jeepneys, buses and taxis convert their diesel- or gasoline-fed engines into ones that would run on much cheaper and environment-friendly fuels like LPG and compressed natural gas.
Then Transportation Secretary Leandro Mendoza noted that it would cost P70,000 to convert a vehicle to 30-percent LPG use and P250,000 for 100-percent LPG conversion. For a jeepney converting into 30-percent LPG use, this would mean an additional P220 savings a day for an owner or driver, he added.
By the end of 2008, the DOE noted there were 14,000 taxis operating in key cities nationwide, as well as 132 retail dispensing stations.
As of March 2011, there were more than 18,731 registered taxis running on LPG in the country, according to the DOE. Inquirer Research