After options on the best way to restore my bug's fuel tank, have it sandblasted then powder coated or use the POR15 fuel kit? Or any other way to do it.

After a lot of research I have chosen to use the por15 kit inside and paint outside.
I am also ditching the VDO fuel sender for a universal one from Speedhut as I have too many VDO senders that don't work.

Ive used in the past the POR15 fuel tank restoration kit on aftermarket 4 wd fuel tanks that have corroded inside, and it seems to work well in sealing the inside of the tank

KBS stuff is cheaper with the same result.

http://www.kbs-coatings.com.au/?product=motorcycle-fuel-tank-sealer-kit 

Ive used KBS on bike tanks with great results

I was planing on using the POR15 kit for ages but then read about it peeling inside on a few forums, so that made me rethink it. Thanks for the info will look into the other one.

It is a 4 step process that has to be done at certain time intervals and has to be dried really well.
It could be possible that the jobs that had it flake were not done correctly?

It depends on what you find after the sand blasting

I did my tank a few years ago and it was better to cut a section out and weld in new steel

The Por15 is good but new STEEL is better if it has heaps of pin holes

I will refrain from my opinion as they generally lead to derision and personal attacks

Technically you just provided your opinion. Just not on the same topic as what was being discussed.

I looked at restoring my tank but in the end bought a repro Wolfsburg West one from Das Resto. New steel, fits and works. I figured it was better than an old rusty tank with a new coating inside. If your tank needs welding before the internal coating, you may find it doesn't cost much more for the repro, as welding a tank is a bit involved as I understand.
Cheers..Wayne

Haven't done a vw tank,but did a motorcycle tank with por15,so far so good....amazing how hard that stuff is.