Republic of the Philippines — The Intergovernmental Panel on Climate Change (IPCC) has highlighted that human activities have significantly contributed to global warming, with temperatures already 1.0°C above pre-industrial levels. With projections indicating a potential rise to 1.5°C between 2030 and 2052, the Philippines faces increasing climate-related risks to health, livelihoods, food security, water supply, and economic growth.
House Bill No. 7705, titled the “Low Carbon Economy Act of 2022” was lobbied last 2023 by Hon. Edgar M. Chatto, representing the First District of Bohol. This proposed legislation aims to promote a sustainable development framework in the Philippines, emphasising the importance of reducing greenhouse gas (GHG) emissions while fostering economic growth.
This bill underscores the Philippines’ commitment to the Paris Agreement on Climate Change, which includes a 75-percent reduction in GHG emissions from 2020 to 2030.
Key Provisions
The bill proposes the establishment of a national system for archiving, reporting, monitoring, and evaluating GHG emissions, in line with the National Climate Change Action Plan (NCCAP). It introduces an emissions trading system, allowing entities with excess GHG emissions to purchase allowances from those with lower emissions, thus creating a market-driven approach to achieving emissions targets.
To support the transition to a low-carbon economy, the bill emphasises the development and transfer of low-carbon technologies, capacity building, and sustainable finance. It advocates for the involvement of local government units, academia, non-government stakeholders, and the private sector in driving technological innovation and resource mobilisation. The bill also promotes international cooperation to ensure accelerated support for the country’s climate goals.
The “Low Carbon Economy Act of 2022” aims to align the Philippines’ economic development with global climate targets, fostering a resilient and low-carbon economy. The proposed emissions trading system and other market-based approaches are expected to facilitate significant reductions in GHG emissions while encouraging sustainable growth and technological advancement. The passage of this bill is crucial for the Philippines to meet its climate commitments and safeguard its future.
The French Chamber of Commerce and Industry in the Philippines, through its recently launched Energy and Renewable Energy Committee, demonstrates its commitment to advancing the energy sector in the Philippines through its network. The committee will serve as a platform for French and Philippine companies to collaborate on projects, share industry insights, and explore opportunities in the fast-growing renewable energy landscape of the country.
Read the full bill here: https://issuances-library.senate.gov.ph/bills/house-bill-no-7705-19th-congress