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Saturday, July 13, 2024

Govt’s carbon reduction goal seen to affect growth

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The Philippine Chamber of Commerce and Industry on Wednesday expressed concern over the  government’s commitment to reduce by 70 percent  the emission level of greenhouse gases by 2030.

PCCI president George Barcelon said in a letter to Climate Change commissioner Emmanuel de Guzman that while the chamber supported a government initiative to cut carbon emissions and promote business resiliency and environmental sustainability, the government’s plan to achieve its 70-percent commitment could affect economic growth.

PCCI asked the commission for the specific mitigation options that would lead to the 70-percent reduction, saying a previous goal of 40-percent reduction supported by the private sector was already the threshold by which industries could reduce their carbon emission.

“We are very much concerned on how this 70-percent commitment will impact on industries especially those in the manufacturing sector and the small and medium enterprises,” Barcelon said.

He said if interventions to reach a 70-percent reduction would be capital-intensive, enterprises and industries would be under pressure to incur higher operational costs and consumers would also be paying higher for goods and services.

The target annual growth of 6.5 percent within the next few years would be compromised with the implementation of capital-intensive interventions to achieve the 70-percent carbon reduction, Barcelon said.

With Philippine manufacturing only starting to redevelop, the measures that should be adopted should balance the need to sustain economic growth with the need to protect the environment, he said.

The sector grew by an average of 8 percent in the last three years.

The Trade Department crafted a strategy to sustain a manufacturing resurgence program and improve the growth trend by infusing more technical and monetary support to government agencies involved in the program. 

Major programs include the ongoing Comprehensive Automotive Resurgence Strategy and programs for dye and mold, rubber, coffee and other high-demand commodities.


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