Philippine president orders creation of carbon market framework

illuminem summarises for you the essential news of the day, reviewed by our editorial team. Read the full piece on Eco Business or enjoy below:

🗞️ Driving the news: Philippine President Ferdinand Marcos Jr. has ordered the creation of a national carbon market policy framework to attract climate investment and support domestic emissions reductions
• Under Executive Order No. 127, signed on October 13, the Department of Environment and Natural Resources (DENR) will lead the development of rules for domestic and international carbon-credit trading
• The framework will establish project eligibility and approval requirements, transaction monitoring, benefit-sharing arrangements and safeguards
• A national digital registry will track carbon credits and related transactions.

🔭 The context: The framework aims to coordinate policies across government agencies and support the Philippines’ commitments under the Paris Agreement
• It will cover voluntary carbon markets and international cooperation under Article 6, which allows countries to transfer verified emissions-reduction outcomes under agreed accounting rules
• Civil society representatives welcome the prospect of clearer regulation but warn that carbon markets alone do not guarantee stronger climate action
• The country’s updated climate pledge reportedly lacks a decarbonisation pathway aligned with the 1.5°C temperature goal and does not clarify how much of its conditional emissions target will rely on carbon markets

🌍 Why it matters for the planet: Credible carbon markets could channel funding into forest conservation, ecosystem restoration, renewable energy, agriculture and waste management
• Their climate value will depend on rigorous emissions measurement, avoiding double counting, protecting local communities and ensuring credits represent genuine, additional reductions or removals

⏭️ What’s next: The DENR must submit the proposed framework to the inter-agency committee for review and approval within 30 days of the executive order taking effect
• Consultations and the eventual rules will help determine whether the system attracts investment while delivering measurable climate benefits and fair outcomes for affected communities

💬 One quote: “There is a need to formulate a national carbon market framework aligned with international standards, through a whole-of-government approach, to support the achievement of the country’s NDCs,” the executive order states.

📈 One stat: 30 days — the deadline for the DENR to submit its proposed framework to the inter-agency committee after the order takes effect.

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