Philippine government leaders urged the private sector to take bold leadership in reducing climate pollution during a business conference on Sept. 

“Government action alone is not enough. Real transformation requires strategic partnerships with private sector actors,” said Environment Secretary Raphael Lotilla.

He delivered the keynote at the 2025 Philippine Net Zero Conference, which gathered business leaders to explore ways to address barriers in decarbonization, with the ultimate goal of achieving net-zero emissions by mid-century.

Lotilla noted that businesses account for more than half of the country’s greenhouse gas (GHG) emissions, making them crucial in setting and achieving national climate targets. He cited the ongoing update of the Nationally Determined Contribution (NDC), the Philippines’ pledge under the 2015 Paris Agreement. In its 2021 submission, the government committed to cut GHG emissions by 75 percent within the current decade.

While saying the figure is unlikely to change in order to “retain our credibility” as a “responsible member of the international community,” Lotilla explained that the government is working to raise the unconditional portion of the NDC, or the target that can be achieved without financial and technical support from developed nations.

“Through these collaborative approaches, Philippine businesses can significantly support our target commitments outlined in the NDC,” he said.

Renewable energy push

Energy Secretary Sharon Garin highlighted renewable energy (RE) as key to decarbonization, particularly with the country’s privatized power sector.

Under the Philippine Energy Plan, RE is expected to make up 35 percent of the energy mix by 2030 and 50 percent by 2040. Garin expressed optimism that these goals can be achieved through initiatives such as the Green Energy Auction, Green Energy Option Program, and Renewable Portfolio Standards.

“There is so much appetite for investors to get involved in renewable energy, so we are positive about that,” she said.

Garin also stressed the need to remove bottlenecks that delay renewable projects, saying, “the main task of DOE is to make sure that these contracts are executed on time and through the right price.”

Legislative push

A legislative measure was also presented at the conference: the proposed Low Carbon Economy Investment (LCE) Bill. The bill would mandate emissions reduction targets for large corporations and establish a national carbon credit trading market.

Rep. Jose Manuel Alba of Bukidnon’s 1st District, a leading advocate of the bill, described it as essential to starting the country’s decarbonization.

“The real question isn’t, ‘Can we afford to act?’ The real question is, ‘Can we afford not to?’ Early action is not only affordable — it’s the smarter economic choice,” he said.

Addressing concerns over the initial costs of moving away from fossil fuels, Alba argued that the long-term benefits — including avoided damages, lower energy bills, and reduced health costs — would outweigh those costs by five to eleven times.

“The sooner we act, the better we can protect our people, our economy, and our growth,” he added.