**1. Introduction**

The use of renewable energy sources such as biofuels is a major thrust to combat the imminent crisis on energy security and climate change. With diminishing fossil fuel supply and global warming issues, a transition to cleaner and more secure fuel production is necessary. This led to the implementation of Republic Act 9367, otherwise known as the Biofuels Act of 2006. This Act primarily aims to lessen the country's dependence on imported fossil fuels by utilizing renewable and clean

energy sources, thereby mitigating climate change while also promoting employment opportunities for the country's economic growth [1].

Pursuant to the Biofuels Law, a mandate was implemented on blending locally sourced biofuels to all petroleum-based fuel sold in the country. After two years since the law took effect last 06 February 2007, the mandated minimum level of bioethanol blending to gasoline was 5% by volume while biodiesel blending to diesel was set to 2% by volume. The Department of Energy (DOE) is mandated to spearhead the implementation of the Act through the creation of the National Biofuel Board (NBB). To further promote the development of biofuels in the country, the Biofuels Act provides incentives to investments related to the production, distribution, and use of locally produced biofuels. These incentives include elimination of specific tax on local or imported biofuels additives, exemption of the sale of raw material used to produce biofuels such as, but not limited to, coconut, jatropha, cassava, sugarcane, corn, and sweet sorghum from the value added tax, exemption of water effluents derived from biofuels production from wastewater charges in accordance with the Republic Act No. 9275 or the Philippine Clean Water Act of 2004, and provision for financial assistance from government financial institutions for activities engaged in the production, storage, handing, and transport of biofuel and biofuel feedstock [2]. Primarily, high selling price of biofuels due to the high domestic cost of production is the main challenge facing the country's biofuels industry. In response to this, development and implementation of various research studies were initiated by the Department of Agriculture (DA) and the Department of Science and Technology (DOST) through the Philippine Council for Industry and Energy Research and Development (PCIEERD) in support to identifying and developing sustainable and viable feedstocks as well as economically feasible conversion technologies for biofuels production and utilization.

At present, the bioethanol blending of 10% remains consistent with the mandate under the Act. From sugarcane as main biomass source for bioethanol fuel, a shift to use of molasses, a byproduct of sugar-making process, has been initiated. On the other hand, biodiesel in the country is solely sourced from coconut. Although NBB has recommended an increase in the biodiesel blend to 5% in 2015, it was indefinitely delayed owing to feedstock and pricing concerns causing the current blending scenario for biodiesel to remain stagnant at 2% [3]. With the plan of further increasing the country's blending targets for biodiesel to 10% by 2020 and eventually to 20% by 2025 onwards, exploration of a more sustainable and economical feedstocks is necessary to meet the increasing biodiesel demand. Some of the feedstocks under study as potential sources for biodiesel production include coconut, oil palm, soybean, jatropha, used cooking oil, and microalgae. Hence, this book chapter provides an information on the suitability of different potential feedstocks in the Philippines that can be utilized for biodiesel production. Appropriate technologies for the conversion of these feedstocks to biodiesel fuel are also discussed. A brief overview of the current situation of the biodiesel industry in the Philippines is also provided in this chapter.
