Clean Energy Act of The Philippines

Manila, Philippines - with the passing of its Renewable Energy Act - the Philippines can save over US $2.9billion according to a recent study by WWF and the University of the Philippines. This legislation took 19 years in the making and now, the senate has reach a decision to push with the bill.

The savings would come from increasing the country's renewable energy share in its power generation mix from 0.16% to 41% from wind, solar, ocean, run-of-river hydropower and biomass. Today 26% of the country's power comes from burning oil. Last year the country has imported 101.4 million barrels of oil alone, costing a staggering US $7.5billion.

In passing this landmark legislation, the senate has paved the way in attaining energy independence and low-carbon growth. By tapping into massive clean energy sources - the Philippines is now moving towards an era of sustainable development while contributing to the global efforts in to prevent dangerous climate change. This will also give the Philippines an advantage in focusing the $3 million rebate into other programs that needs attention.

The landmark legislation aims to accelerate the development and use of the nation's vast renewable energy resources through fiscal and non-fiscal incentives to investors. It also assures investors in wind, solar, biomass, ocean, and run-of-river hydropower of premium rates in electricity generated from these clean sources through feed-in tariffs.

Other incentives include duty-free importation of equipment, tax-credit on domestic capital equipment and services, special realty tax rates, income tax holidays, net operating loss carry-over, accelerated depreciation, and exemption from universal change and wheeling charges.