The Department of Energy (DOE) plans to release a long-awaited circular by next month establishing the regulatory framework for carbon credit certificate (CCC) trading in the Philippines—a critical move to kickstart a credible domestic carbon market aligned with international standards.
Energy Undersecretary Felix William Fuentebella announced the timeline during a corporate event in Makati, saying that the ground rules will allow other government agencies to formulate their own sector-specific policies under a unified national strategy. The circular is currently undergoing public consultation to incorporate feedback from stakeholders across the energy value chain.
CCC trading enables the exchange of verified certificates representing one metric ton of carbon dioxide equivalent emissions reduced, avoided, or removed. These credits must be certified by independent third-party entities using globally accepted methodologies.
To ensure market integrity and public trust, Fuentebella emphasized the need for a dedicated regulatory body, akin to the Securities and Exchange Commission or Bangko Sentral ng Pilipinas, with the authority to accredit projects, standardize procedures, and enforce audits.
The DOE envisions the Philippines participating in both domestic and international CCC markets, and is working closely with the Department of Environment and Natural Resources (DENR) to finalize cost structures and regulatory provisions.
Fuentebella underscored that establishing a national authority for carbon trading is also a requirement under international law. He warned that delays in issuing the circular could stall other agencies’ initiatives and hinder the country’s ability to manage emissions reductions credibly.
The forthcoming policy aims to position the Philippines as a reliable player in the global carbon market while reinforcing environmental accountability and commercial viability.
