The Securities and Exchange Commission (SEC) formalized a cooperation deal with Japan’s Ministry of the Environment (MOEJ) and the Department of Environment and Natural Resources (DENR) on Thursday to improve how greenhouse gas emissions are measured, reported, and verified, and to strengthen climate-related transparency across sectors.
Signed by SEC Commissioner McJill Bryant Fernandez, MOEJ Vice Minister Kentaro DOI, and DENR Undersecretary Analiza Rebuelta-Teh, the agreement falls under the Partnership to Strengthen Transparency for co-Innovation (PaSTI), a Japanese initiative launched in the Philippines in 2019. Through this program, the SEC has already gained deeper knowledge of international standards for emissions tracking and how environmental reporting connects to corporate sustainability disclosures.
This effort supports the SEC’s existing push for better sustainability and climate disclosures in the country, including its move to adopt global IFRS standards (S1 and S2) for listed firms and large unlisted companies. Commissioner Fernandez noted that reliable climate information is increasingly in demand, and progress depends on teamwork between financial regulators, environmental agencies, businesses, and global partners rather than one sector working alone.
DENR’s Rebuelta-Teh added that the long-term goal is to shift private sector greenhouse gas reporting from voluntary to mandatory. By aligning DENR’s technical guidelines with the SEC’s updated reporting rules, the government aims to create a single, coordinated system. This preparation will also help local companies adapt to global requirements, such as the European Union’s carbon border tax and international carbon trading mechanisms.
The partnership harmonizes government rules and global standards, ensuring consistent, credible climate data. It helps Philippine businesses comply with upcoming international regulations, supports the country’s climate action goals, and builds a clear framework that guides firms toward mandatory reporting—critical for access to global markets and sustainable investment.
