Philippines publishes Chemical Control Order on HFCs

On October 13, 2021, the Department of Environment and Natural Resources (DENR) of Philippines issued the Administrative Order: Chemical Control Order (CCO) for Hydrofluorocarbons (HFCs) (DAO No. 2021-31). This Administrative Order adds HFCs, which are included in Annex F of the Montreal Protocol, to the list of substances subject to regulation under Chemical Control Orders (CCOs). Accordingly, importers, dealers, re-sellers, retailers and service providers of HFCs will be required to register with the Environmental Management Bureau (EMB). A phase-out schedule for the regulated HFCs is also provided.

The Administrative Order enters into effect 15 days after its promulgation in a newspaper of general circulation and upon acknowledgement of the receipt of the copy thereof by the Office of the National Administrative Register (ONAR).

The Administrative Order can be viewed at the following URL:
https://pod.emb.gov.ph/wp-content/uploads/2021/10/DAO_2021-31_Chemical-Control-Order-for-HFCs.pdf

Regulated substances

The following substances, which are included in Annex F of the Montreal Protocol, shall be controlled by this CCO.

All relevant data on HFCs and their mixture that are not listed in this CCO or the Philippine Inventory of Chemicals and Chemical Substances (PICCS), the Philippines’ existing chemical substances inventory, shall be submitted to EMB for proper evaluation and assessment for inclusion to the PICCS. However, such substances must first undergo the Pre-Manufacture Pre-Importation Notification (PMPIN).

* PMPIN is equivalent to a new chemical substance notification system.

Phase-out schedule and import control

The consumption of the substances regulated by this CCO shall be phased out from the baseline value as follows:

*The baseline is the average of HFCs production/consumption in 2020-2022 + HCFC baseline × 65%.
*The Philippines does not produce or export HFCs, so the volume of consumption is equal to the volume of importation.

In accordance with the above phase-out schedule, an annual import quota allocation system will be implemented from 2024 onwards. Only importers who imported HFCs between 2020 and 2022 will receive quota allocation and may apply for Certificate of Registration (COR) and Pre-Shipment Importation Clearance (PSIC).

Registration of Importers

Importers of substances regulated under this CCO shall register with the with EMB through the Online Permitting and Monitoring System (OPMS). At the time of application, the following documents are required:

• Duly accomplished and notarized application form
• Photocopy of the following documents:
• Environmental Permits, if applicable. e.g., Environmental Compliance Certificate (ECC), Hazardous Waste Generator Certificate, Discharge Permit (DP) and Permit to Operate (PTO);
• Either Security and Exchange Commission (SEC) registration, Department of Trade and Industry (DTI) registration, the Cooperative Development Authority (CDA) registration, together with the list of its officers;
• Safety Data Sheet (SDS) from the manufacturer every time an importer applies for registration of a new chemical; and
• Documents describing applicant’s handling procedure, safety precautions, and emergency response for the substance.

The registration shall be valid only for the calendar year of the registration and shall be renewed within the last 30 days of the current calendar year. A certificate of registration may be granted or renewed only when the applicant can show proof that they have enough knowledge as well as capability to take effective measures. This can be shown by proof of attendance or certificate of participation by the applicant’s chemical handler in at least one relevant training/seminar organized by the EMB or DENR or accredited Training Institutions or in-house Training within at least 3 years from the date of application.

All registered importers must first secure a PSIC before any importation. For details, please refer to Section 8 of the CCO.

Record of Transaction

All importers, exporters, dealers, retailers, and re-sellers and service providers must keep records of all transactions to be reflected in the OPMS to generate annual reports which will be utilized by the Bureau.

In addition to the above mentioned, the CCO also provides for the registration of dealers, re-sellers and retailers (Section 9) and service providers (Section 10).