CLIMATE AND ENERGY

Coal tax can go a long way in solving PH climate, energy, and development woes

December 2017

WWF-Philippines  lauds the passage of coal tax hike by Congress and urges President  Duterte to sign the measure. Working together with legislators, civil  society organizations, communities, and consumers, WWF-Philippines views the passage of the coal tax as a just and necessary corrective measure  that has marginal impacts on businesses and households. Taxing coal and other fossil fuels is a way of climate-proofing our assets and  industries. This is a small price to pay as we help build our country's resilience and capacity to cope from climate change and big disasters.

WWF-Philippines President and CEO Joel Palma said, "Passing the coal tax protects us from over-dependence on harmful and imported coal as we shift the country’s power mix to renewables. Coal's dark clouds hold us from achieving genuine energy security and low-carbon development."

Passing  the coal tax can be one of President Duterte's lasting gift to  Filipinos and the future generation. Increasing coal taxes to 50-150 per metric ton in 3 years  can bring in resources to facilitate transformation and lasting change in the lives of hundreds of thousands of families and communities, including children who will benefit from government social programs and infrastructure projects.

Under  the leadership of the 17th Congress, Senators and Congressmen have made  a historic and progressive move to hold the coal producers accountable  to the social and environmental impacts of coal energy. We also recognize the staunch support of Senators Villanueva, Zubiri, Recto, and Legarda, House Speaker Alvarez and Congressmen Cua, Quimbo and  Tambunting, Finance Undersecretary Chua, and notably, Finance Secretary Dominguez who shares the same vision of "transitioning into a country with a low-carbon modern economy."

WWF -Philippines' Head of Climate and Energy Program, Atty. Angela Consuelo Ibay said, "We claim this as a partial victory, since the real battle is just starting. Other countries like China and India have coal taxes in  place but they have also started to shut down their coal plants as they expand their utilization of clean and renewable technologies. For us in the Philippines, it is also of national interest to address climate change by investing in renewable energy and smart technologies to sustain our development gains in the past few years."

The upcoming implementation of the Green Energy Options and the Renewable Portfolio Standards in on-grid and off-grid areas as mandated in the Renewable Energy Law will give energy stakeholders including power generators, distributors, and consumers the opportunity to work together for greater energy access to clean energy options. With 11 million Filipinos left in the margins without access to electricity, looking into viable renewable energy options that harness domestic and indigenous energy sources coupled with adopting innovative and smart solutions to achieve energy sustainability should be part of our drive in achieving the country's development goals.

Passing the coal tax affirms the Philippines’ commitment to the Paris Agreement, supporting the global climate movement to help curb carbon emissions, especially in the energy sector. This is a significant  climate action sending the world a message that even developing  countries like the Philippines can deliver solid climate victories for  the people and the environment.

 

For more information, contact Ms. Angela Ibay at gibay@wwf.org.ph.