Inside PHL’s plans and strategies for a green economy

With natural disasters becoming more frequent, governments from around the world are actively taking measures to combat the effects of climate change. In the Philippines, one of many countries highly vulnerable to typhoons, rising sea levels, and extreme weather events, the push for a green economy has become more urgent than ever.

The United Nations Environment Program (UNEP) defines a green economy as “one that improves human well-being and builds social equity while reducing environmental risks and scarcities.” This vision addresses environmental concerns and advances sustainable development, where public and private investments in low-carbon initiatives, resource efficiency, and ecosystem preservation drive growth in employment and income.

Last year, the Department of Environment and Natural Resources (DENR) and the European Union (EU) launched a P3.67-billion program that aims to kick-start the country’s transition to a more eco-friendly economy. The Green Economy Programme in the Philippines (GEPP) looks to improve waste management and support the country’s transition to a circular economy — a sustainable model that minimizes waste and maximizes resource use. 

“At its core, the Green Economy heralds a new era where economic growth aligns harmoniously with environmental stewardship and social inclusivity. By prioritizing sustainable practices and being mindful of the utilization of natural resources throughout their life cycles, we can co-generate prosperity and resilience that benefits both present and future generations,” DENR Secretary Maria Antonia Y. Loyzaga said during the program launch in March 2024. 

Designed to be executed until 2028, the GEPP encompasses four distinct key areas of intervention: building partnerships, enhancing policy frameworks and establishing a multi-stakeholder dialogue platform; local government action and stakeholder engagement; private sector engagement and financial innovation; and renewable energy and energy-efficiency deployment. These initiatives aim to create a more sustainable economic system in the country through collaboration between the government, private sector, and local communities. 

“The successful launch of the Green Economy Programme for the Philippines is part of the EU’s new Global Gateway Strategy and shows our commitment worldwide to combating climate change while promoting inclusive economic development. By working hand in hand with DENR and other key stakeholders, we aim to foster a more resilient and prosperous future for the people of the Philippines,” EU Ambassador Luc Véron emphasized in a statement. 

The program will be piloted in several key locations, including Baguio City, Caloocan City, Quezon City, Pasig City, Puerto Princesa City in Palawan, Metro Manila, Ormoc City in Leyte, Davao City, the Island Garden City of Samal in Davao del Norte, and Siargao Islands. Its implementation is led by Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, in collaboration with the United Nations Development Programme (UNDP), Expertise France, the Global Green Growth Institute (GGGI), and the International Finance Corp. (IFC). 

By the end of the GEPP, the Philippines is expected to have an estimated 25,000 tons of plastic recycled and reintegrated into the productive chains; at least 30 local government units who have introduced sources of separate collection systems for plastic waste for recycling in their jurisdiction; at least 6,000 micro, small, and medium enterprises that have applied sustainable production practices through circular supply chain management; and created at least 2,500 new “green” jobs in businesses linked to the circular economy model. 

The program will also assist the Philippine government in fulfilling the objectives of various international climate commitments and national environmental policies such as the Philippines’ Nationally Determined Contributions (NDC). In 2017, the Senate approved the ratification of the Paris Agreement on Climate Change, pledging to cut greenhouse gas emissions by 70% from projected business-as-usual levels by 2030. Four years later, the Climate Change Commission raised the target, aiming for a 75% reduction within the same timeframe. 

“I believe that GEPP represents a comprehensive effort towards inclusive growth through climate and disaster risk management but also can unlock the full potential of the circular economy and its contribution to resilience and reducing risk,” Ms. Loyzaga concluded. 

Building on these efforts, the European Union-Philippines Partnership for Green Economy has gained momentum as collective action and partnerships at the local level take center stage. Last year, the United Nations Development Program (UNDP) together with the Department of the Interior and Local Government (DILG) co-organized an Inception Workshop with partners and stakeholders under the Green Local Government Units (LGUs) Project in Quezon City. 

The workshop began the GEPP’s 4.5-year initiative for partner LGUs to develop circular economy projects, supporting a sustainable transition. It also aligned with the DENR-led Earth Day 2024 theme, Planet VS Plastics, highlighting circular solutions to plastic waste in municipalities. The event also showcased the valuable yet underutilized expertise of non-LGU stakeholders — youth, women’s groups, CSOs, MSMEs, and more — fostering collaboration with LGUs and among themselves. 

Several laws dating back to before the ratification of the Paris Agreement in 2017 have also been passed to fast-track the country’s transition to a green economy. Chief among these is Republic Act No. 10771 or the Philippine Green Jobs Act of 2016 which incentivized businesses that use green technologies to produce environmental goods and render services. This, in turn, creates a competitive, low-carbon, and environmentally sustainable economy, through the promotion of green jobs. 

Other laws passed since 2016 that advance the green economy include: the Energy Efficiency and Conservation Act of 2019, which intends to secure the sufficiency and stability of the country’s energy resources through renewable energy; the Green Building Code of 2016, which promotes resource efficiency in buildings; and the Climate Change Act of 2009 that created a framework for climate change action and the establishment of the Climate Change Commission. 

As the Philippines continues to adapt to a greener economy, partnerships, policies, and initiatives can serve as a solid foundation for a more resilient and sustainable future. However, realizing this vision requires sustained collaboration, investments in green infrastructure, and strengthened climate policies. Ultimately, the success of these efforts will determine how well the Philippines adapts to climate challenges while ensuring inclusive and sustainable growth for generations to come. — Jomarc Angelo M. Corpuz