February 18, 2026 · On February 9, 2026, the first Philippine DecarbonizationGlobal EssentialsDecarbonizationThe work of removing carbon emissions from an economy — swapping energy sources, redesigning industry, and rethinking transport.Read more in the Glossary → Forum took place at the Asian Institute of Management (AIM), drawing over 100 attendees from the public and private sector.
The forum comes at a time when carbon targets are starting to feel very real: the Philippines has set 2030 as its deadline for operationalizing carbon emissions reduction. A day before the forum, the Department of Environment and Natural ResourcesPH Laws & FrameworksDENRThe national agency responsible for the Philippine environment — forests, protected areas, mining permits, pollution rules. Parent of the EMB and the Biodiversity Management Bureau.Read more in the Glossary → (DENR) has also announced its intent to enter the voluntary forest carbon marketGlobal EssentialsCarbon Markets & Carbon CreditsSystems where verified emission reductions are bought and sold as credits, one tonne of CO2 at a time. The Philippines is building its voluntary-market framework now.Read more in the Glossary →.
The Philippines produces less than 1% of global carbon emissions, yet it is among the most vulnerable to the impacts of climate change—losing as much as PHP 506 billion or 3% of its GDP every year.
This frames decarbonization as not just another box to tick on the environmental agenda, but a way of survival, said Hon. Annaliza Teh, DENR Undersecretary for Climate Change Services, in her keynote address.
Given these realities, the government is set to develop the measures, policies, and programs needed to support the transition to a low-carbon economy. This includes the National Adaptation Plan (NAP), a framework that underscores the role of sustainable land management, ecosystem protection, and nature-based solutionsGlobal EssentialsNature-based SolutionsUsing ecosystems to solve human problems — mangroves as flood defense, watersheds as water infrastructure, wetlands as carbon sinks.Read more in the Glossary → in delivering both mitigation and resilience.
The Philippines’ Nationally Determined ContributionGlobal EssentialsNDCA country's official climate pledge under the Paris Agreement. The Philippines committed to a 75% emissions reduction by 2030, mostly conditional on international support.Read more in the Glossary → (NDC) is also being refined to include stronger Measurement, Reporting, and Verification (MRV) systems to track emissions more accurately. Before the Philippines can participate in international carbon markets, it will need a robust MRV framework. “Credible climate action requires credible data, and we are building the infrastructure to make it possible,” said Teh.
On the side of corporate governance, the Securities and Exchange Commission (SEC) shared further details about the new tiered sustainability reporting framework that will require thousands of Philippine companies to disclose their carbon footprint and climate risks.
The tiered approach is meant to dissuade companies from trying to game the system, emphasized Atty. Rachel Esther Gumtang-Remalante, Director of Corporate Governance and Finance at the SEC. Once assigned a tier, companies must submit an annual sustainability report continuously, with failure to do so resulting in penalties.
“If you do not provide penalties, they will not follow. You can do the jaywalking, but if somebody catches you, you will start following the rules. I cannot remove my regulator’s hat,” said Atty. Remalante.
During a panel discussion moderated by Sustina Executive Director Anna Reyes, questions arose about how companies purchasing forest credits should report them in sustainability disclosures and whether a single national registry could prevent duplicate claims. Atty. Remalante said those coordination mechanisms remain under discussion with DENR. “We’re open to collaboration,” she said. “Our way is to have an available template to make it easier for companies.”
DENR Undersecretary Teh also reiterated the lack of a clear national policy as a challenge, which contributes to data gaps that need to be addressed. “We don’t have actual data on what organization, what communities, enter into agreement with the developers and proponents,” said Teh. “Right now, we are trying to come up with a system. As we develop the MRV, we would also like to develop our database for all these projects.”
Ensuring proper benefit-sharing that is aligned with existing Philippine laws, rules, and regulations is also another challenge. Teh shared: “We want to ensure that this carbon market mechanism will protect the rights of the indigenous peoplesLocal Climate & EcologyIndigenous Peoples & Ancestral DomainThe communities who have stewarded Philippine land and water longest, and the legal recognition of their territories under the Indigenous Peoples' Rights Act (RA 8371).Read more in the Glossary → and the whole Philippines. […] We do not want to impose new policies, but to make sure that they are aligned.”
The question of additionality and how DENR would shield the carbon market from greenwashing, particularly in the Philippines where forests already exist as protected areas, was likewise brought up in the discussion. Additionality in carbon projects is the requirement that emission reductions or removals are new, quantifiable, and could not have happened without the financial, regulatory, or technical incentive provided by selling carbon credits.
“In terms of making sure there is additionality, we have formulated our blueprint for carbon policy framework and defined the different principles for additionality, permanence. We will make sure this is something we will look at as we monitor the projects under the voluntary forest carbon market,” Teh said.
Decarbonization requires data integrity and involves substantial financial risk. But if done right, it can unlock a world where economic development no longer has to come at the expense of the environment.
“We anticipate continued opportunities to bring together these essential stakeholders, especially as the Philippines advances its decarbonization agenda,” said Paulo Burro, the main event organizer and a member of the United Nations Framework Convention on Climate Change (UNFCCC) Roster of Experts. “Decarbonization transcends environmental concerns. It fundamentally requires data integrity and there is substantial financial risk. Meaningful progress requires the active participation of all stakeholders, with government agencies such as DENR particularly positioned to benefit from the expertise of technical professionals who have dedicated decades to this field.”
