Imposing carbon tax as a move to reduce carbon dioxide emission particularly in the power sector at this time is still unnecessary, the Department of Energy (DOE) said.
Energy Secretary Alfonso Cusi said the country is not yet ready to impose such a tax as this will only make the country’s power sector to become more uncompetitive.
Cusi added the country is still building its capacity to meet power demand and ensure sufficient reserve.
Since he assumed office, the DOE has been pushing for technology-neutral policy, welcoming investments in all potential sources of energy to build capacity for the country amid the increasing power demand.
“And up to this moment, we still want to build capacity. So carbon tax for us at this moment, we’re not just ready for that,” he said.
Cusi said burdening power generation companies with carbon tax will only make the Philippines uncompetitive in attracting investments in power generation.
Photo by PNA