Policies in the Philippines:
Philippines: Act to Promote the Exploration and Development of Geothermal Resources - Presidential Decree 1442
This act provides incentives for the development of geothermal operations including the recovery of operating expenses (up to 90% of the gross value per year), exemption from all taxes except income tax, income tax obligation paid out of government’s share, exemption from payment of tariff, duties and compensating tax on the importation of machinery, equipment, spare parts and all materials for geothermal operations, depreciation of capital equipment over a ten year period, and easy repatriation of capital equipment investment and remittance of earnings.
Status: In Force; Voluntary
References: Geothermal Energy, Department of Energy
Philippines: Buhay Award
The government initiated the Buhay award in order to recognize those companies, individuals, groups and institutions which had voluntarily taken measures to reduce their GHG emissions. The hope was to demonstrate that energy conservation and GHG reductions are beneficial to both the environment and the business.
Date Implemented: 1998
Status: In Force; Voluntary
References: National Communication to the UNFCCC
Philippines: Clean Air Act
The Clean Air Act outlines the government’s measures to reduce air pollution and incorporate environmental protection into its developement plans. It relies heavily on the polluter pays principle and other market-based instruments to promote self-regulation among the population. It sets emission standards for all motor vehicles and issues registration only upon demonstration of compliance. It also issues pollutant limitations for industry. Polluting vehicles and industrial processes must pay a charge. Any individual, enterprise, corporation or groups that installed pollution control devices or retrofitted its existing facilities to comply with the emissions standards in the Act can apply for tax incentives of accelerated depreciation, deductibility of R&D expenditures or tax credits on the VAT of the equipment and are exempt from real property tax on the machinery or equipment used to comply. It also establishes a R&D program for air pollution reduction mechanisms and technologies. It bans incineration and smoking in public places. At the local and municipal levels, governments are allowed to set emission quotas by pollution source, and the development of recycling programs is encouraged.
Date Implemented: 1999
Status: In Force; Framework Policy
Funding Information: The funding for the activities proscribed in the Act will come from the Air Quality Fund set up by the Act itself. The Fund will be fed from fines imposed for damages to the environment, from the proceeds from issuance of licenses, permits and registration, and from tax-exempt contributions and grants.
References: DENR Administrative Order 2004-53; DENR Administrative Order 2003-51
http://www.chanrobles.com/philippinecleanairact.htm
Philippines: Electric Power Industry Reform Act
This policy aims to develop indigenous resources, to reduce the cost of electricity, and to promote foreign investment in the sector. It liberalizes the power sector, setting deregulation measures and privatization in motion by requiring state-owned utility National Power Corporation (Napocor) to break up its vertically integrated structure into smaller generation, transmission and distribution structures. The opening allows the participation of any competitive technology, including renewables. The removal of subsidies will level the playing field for renewable technologies by making the price of conventional fuels reflect their true market value.
Date Implemented: 2001
Status: In Force; Framework Policy
References: “New and Renewable Energy Resource Development;” Country Analysis Brief: Philippines
Philippines: Energy Label Requirement
Refrigerators are required to carry energy efficiency labels displaying their efficiency rating, total storage volume, and energy consumption.
Date Implemented: 2000
Status: In Force; Mandatory
References: http://www.apec-esis.org/productsummary.php?country=Philippines&product=...
Philippines: Executive Order 462
This executive order provides incentives and support for the exploration and development of ocean, solar and wind energy resources for power generation.
Status: In Force; Voluntary
References: “New and Renewable Energy Resource Development;” Country Analysis Brief: Philippines
Philippines: International Action Programme (IAP), Doubling the Generating Capacity from Renewable Energy Sources by 2013
To increase renewable energy-based capacity by 100% by 2013, increase efficiency and substantially contribute to the protection of the environment and contribute to the economic growth of the countryside through rural electrification.
Date Implemented: 2003-2013
Status: Voluntary
Funding Information: The Government will continue to promote private sector participation in the development of renewable energy in the country. RE investments in the amount of PHP 295,28 billion and PHP 106,01 billion for rural electrification and energy efficiency programmes shall be offered for consideration by the private sector. Government shall undertake financing for investments promotion through RE Trade Mission, holding of business meetings and other fora, and the preparation and development of RE Investment Kits.
Targets: Double installation of generating capacity from renewable energy sources to approximately 4,700 MW, enabling the Philippines to be the largest geothermal energy producer in the world, the leading wind energy producer in Southeast Asia and to double its hydro capacity by 2013. To become a regional solar cell manufacturing export hub within ASEAN region, and to increase the non-power contribution of renewable energy to the energy mix.
References: http://www.ren21.net/iap/commitment.asp?id=108
Philippines: Investment Priorities Plan (IPP)
This plan outlines the sectors in which the Filipino government is actively promoting investment with incentives and a favorable regulatory framework. Activities promoted include the development of alternative energy sources and natural gas resources, as well as, for example, manufacturing items for export and building housing developments.
Date Implemented: 2004
Status: In Force; Voluntary
References: http://www.us-asean.org/Philippines/2004_IPP.pdf
Philippines: Medium-Term Philippine Development Plan (MTPDP)
Five-point national development agenda.
Date Implemented: 2004-2010
Targets: one of the goals of the agenda is energy independence: 60% self-sufficiency level in 2010
Philippines: Mini-hydroelectric Power Incentives Act - Republic Act No. 7156
This law gives incentives to private sector entities with at least 60% Filipino ownership that invest in mini-hydro facilities and participate in the development of the mini-hydropower industry. These incentives include: special privilege tax rates, tax-and-duty free- importation of machinery, equipment and materials, tax credit on domestic capital equipment, special realty tax rates on equipment and machinery, value-added tax exemption, seven year income tax holiday, and access to technical and financial packages offered by financial institutions.
Status: In Force; Voluntary
References: Mini-Hydro Resource Development
Philippines: National Action Plan on Climate Change
Date Implemented: 1997
Status: Government Initiative
References: National Communication to the UNFCCC
Philippines: National Energy Efficiency and Conservation Program
It is declared policy of the government to promote the judicious conservation and efficient utilization of energy resources through adoption of the cost-effective options toward the efficient use of energy to minimize environmental impact. Energy should not only be produced and used in a manner that will promote sustainable development and utilization of the country’s natural resources but at the same time contribute to the country’s overall economic competitiveness and minimize negative environmental impacts.
Targets: 229 MMBFOE total energy savings from the implementation of energy efficiency and alternative fuels programs for the period 2005-2014. It is projected that about 50.9 million tons C02 equivalent greenhouse gas emissions will be avoided for the same period.
References: http://www.doe.gov.ph/neecp/
Philippines: National Environmental Education Action Plan (NEEAP) - formerly National Strategy for Environmental Education
The plan aims to educate the citizenry in matters regarding the environment and sustainable development. It proposes institutional changes to promote educational programs, the addition of an environmental focus in elementary and high school curricula and in tertiary education programs and promoting environmental sensitivity in non-formal educational arenas. The executive branch sponsored the publication and dissemination of poster calendar(s) on climate change and global warming, the organization and conduct of symposia, focus group consultation and workshops, and the conduct of exhibits on climate change. The Senate committee has also cosponsored national and Asia Pacific-wide conferences to promote awareness.
Date Implemented: 2005-2014
Status: In Force; Government Initiative
References: National Communication to the UNFCCC
Philippines: National Forestation Program
The National Forest Policy aims to ensure the adequate supply of industrial timber and fuel wood; provision of livelihood for upland communities and, restoration and maintenance of a stable, functional and wholesome environment. It also creates production forest plantations for sustainable exploitation.
Date Implemented: 1986
Status: Framework Policy
Funding Information: Loans from the Asian Development Bank (ADB) and the Overseas Economic Cooperation (OECF) of Japan
Targets: The goal was to reforest about 300,000 hectares by 1992.
References: http://pcsd.neda.gov.ph/pssd.htm#2
Philippines: NorthWind Bangui Bay Project
The construction of this wind farm is being undertaken by NorthWind Power Development Company with assistance from the Danish International Development Agency. It is being built at a remote part of the Luzon grid which is plagued by expensive and unreliable power supply. The project consists of 15 state-of-the-art wind turbines, totaling 24.75 megawatts. The electricity produced by the Project will be exported to the Luzon grid and will displace highly polluting diesel-based power generation thereby reducing emissions of GHG. The emission reductions (ERs) generated by the project will be purchased by the Prototype Carbon Fund (PCF)/ World Bank.
Date Implemented: 2005
Status: In Force
Funding Information: total cost of about US$35 million, with almost 90 percent funded by the Danish International Development Agency
References: http://carbonfinance.org/Router.cfm?Page=Projport&ProjID=9622
Philippines: Philippine Energy Plan
The PEP is the blueprint for “all players in the energy sector for the next ten years.” The agenda focuses on achieving energy independence and enacting power market reforms. The energy independence portion of the agenda involves increasing indigenous oil and gas reserves, developing renewable energy resources, increasing the use of alternative fuels (CNG for transport), forging strategic alliances with other countries and promoting a strong energy efficiency and conservation program.
The power market reforms aim at privatizing generating capacity, correct pricing of natural resources and energy supplies and to attract foreign investors in the sector.
Date Implemented: updated 2005
Status: In Force; Framework Policy
Targets: One of the government’s main objectives is energy independence: 60% self-sufficiency level in 2010. Other energy and sector specific goals include: 100% barangay (village) electrification by 2008; increase renewable energy capacity by 100% in 10 years; to become the world leader in geothermal energy; to be the largest wind power producer in South East Asia. Previous PEP goals include: the electrification of 90% of households by 2017; emission avoidance of 32,000 Gg CO2 by 2313; to double hydro capacity by 2013
References: Philippines Energy Plan 2005 Update
Philippines: Power Patrol Program
Reaching approximately 1 million households thus far, the Power Patrol Program uses the tri-media to educate the general population on the benefits of conservation in energy and gasoline fuel use in the commercial, residential, industrial and educational sectors.
Date Implemented: 1993
Status: In Force; Government Initiative
References: National Communication to the UNFCCC
Philippines: RE Initiative
The goal of this initiative is to double generating capacity from Renewable Energy by 2013.
References: http://www.renewables2004.de/pdf/List_of_Actions_and_Commitments.pdf
Philippines: Republic Act 9367, Biofuels Act of 2006
Republic Act 9367 signed into law a mandatory biofuels standard which requires a 5% ethanol blend for gasoline within two years, increasing to 10% within four years under the approval of a new National Biofuels Board. A 1% biodiesel blend for diesel is required within 3 months, to be increased to 2% within two years. The amount of bioethanol in gasoline would be increased to 10 percent four years after the law is passed as determined and recommended by the National Biofuels Board. RA 9367 also zero-rates the specific tax on the biofuels component of blended gasoline or diesel.
References: http://www.greencarcongress.com/2007/01/philippines_ado.html#more
Philippines: Road Transport Patrol Program
This program focuses on disseminating information regarding the proper operation and maintenance techniques to minimize fuel consumption.
Date Implemented: 1998
Status: In Force; Government Initiative
References: National Communication to the UNFCCC
Philippines: Strategy for Sustainable Development (PSSD)
The concept for the Sustainable Development Strategy includes integration of environmental consideration in decision-making, proper pricing of natural resources, conservation of biodiversity, rehabilitation of ecosystems, control of population growth and human resources development, inducing growth in rural areas, promotion of environmental education, strengthening citizens’ participation, and promoting small to medium sized enterprises and sustainable agricultural and forestry practices.
Date Implemented: 1989
Status: In Force; Framework Policy
References: National Communication to the UNFCCC
Philippines: The Philippines Energy Plan (PEP)
The Philippines Department of Energy has identified long-term goals for RE development, namely: (i) increase RE-based capacity by 100 percent by 2013; and (ii) increase non-power contribution of RE to the energy mix by 10 MMBFOE in the next years 2003-2012. In support of these general goals, the government shall aim to (i) be the number one geothermal energy producer in the world; (ii) be the number one wind energy producer in Southeast Asia; (iii) double hydro capacity by 2013; and (iv) expand contribution of biomass, solar and ocean energy by about 131 MW. These goals serve as concrete benchmarks for government to advance its vision of a sustainable energy system with RE taking a prominent role in the process.
Date Implemented: 2003
Status: Framework Policy
References: International Energy Agency
Philippines: Total Log Ban in Primary Forests
The government issued a ban on logging in the Philippines’ primary growth forests in an effort to halt deforestation.
Date Implemented: 1992
Status: In Force; Mandatory