Coop plans to flood market with reusable LPG canisters

CEBU, Philippines — A local cooperative is looking at boosting the 'sachet economy' in the liquefied petroleum gas (LPG) sector as it plans to flood the Cebu market with safer refillable LPG cylinders.

The Philippine Eco-gas Producers Cooperative (PEPC) is set to hike its distribution of stainless steel gas cylinders in Cebu, deemed a safer alternative to butane canisters which have been sold illegally in the market.

At a media launch during the Cebu Federation of Beat Journalists (CFBJ) general assembly Wednesday, Sheila May Zenith, consultant at PEPC, said they wanted to recover the butane canisters in the market through its switching program with the Department of Energy.

The cylinder, which is going to be sold in Cebu starting this month, costs P285 and the refill is priced at P35.

Refillable LPG cylinders have been widely used among financially-challenged consumers because they're relatively cheap.

The cooperative said the stainless steel cylinders are imported from Vietnam.

Listed oil firm Phoenix Petroleum Philippines is the refiller of the canisters while the cooperative is the distributor.

The cooperative is targeting to eventually sell about 1.5 million cylinders, with Cebu as a priority market.

But for now, it is selling about 70,000 pieces through its authorized distributors and retailers.

Zenith noted butane consumers in Cebu could reach as many as 3 million.

She pointed out many are using the illegal butane, which is cheaply sold, due to the rising cost of LPG and supply scarcity of charcoal.

PEPC's LPG cylinders have been approved by the DOE, Department of Trade and Industry and Department of Environment and Natural Resources.