Missed Opportunities for Energy Security with Law on Natural Gas Industry!

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On January 15, 2025, President Ferdinand Marcos Jr. signed into law a measure aimed at promoting the growth of the Philippine natural gas industry. The law, a key component of the government’s energy security strategy, seeks to enhance exploration, infrastructure development, and investments in natural gas. Proponents of the law argue it will address the country’s energy challenges, reduce dependence on imported fuels, and support economic growth.

The new law provides tax incentives and other measures designed to attract investments in natural gas exploration, transportation, and distribution. It also aims to encourage the construction of infrastructure necessary for the widespread adoption of natural gas as an energy source. This includes support for liquefied natural gas (LNG) terminals and pipelines.

According to the Department of Energy, natural gas is expected to play an increasing role in the country’s energy mix as the Philippines faces a growing demand for electricity. By 2040, natural gas is projected to account for at least 50% of the country’s energy supply, helping to fill the gap left by the gradual reduction in coal and oil dependency. With the country’s natural gas production on the decline, the law aims to secure a stable supply, reducing vulnerability to global energy price fluctuations.

However, the law has drawn criticism from environmental groups, including the Makakalikasan Nature Party Philippines, which has expressed concern over the government’s reliance on fossil fuels. The party argues that the law represents a missed opportunity to fast-track the country’s transition to renewable energy sources such as wind and solar power.

Roy Jerusalem Cabonegro, President of the Makakalikasan Nature Party, stated, “The signing of this law shows a lack of vision and urgency in addressing the climate crisis. It perpetuates dependence on an energy source that is neither truly clean nor sustainable. Natural gas may be marketed as a ‘bridge fuel,’ but it still contributes to greenhouse gas emissions, including methane, which is 25 times more potent than carbon dioxide.”

The Philippines, under the Paris Agreement, has committed to reducing its greenhouse gas emissions by 75% by 2030. According to Cabonegro, continued investment in natural gas could undermine these climate goals and lock the country into a high-carbon future. The Makakalikasan Party advocates for an energy transition target of at least 80% renewable energy by 2040, a position at odds with the administration’s current target of just 50%.

Environmental groups such as Climate Justice Philippines have echoed similar concerns. They warn that prioritizing natural gas could delay investments in renewable energy, which already provides nearly 29% of the country’s electricity but struggles with inadequate government support. Instead of bolstering fossil fuel infrastructure, these groups call for a focus on decentralized renewable energy systems and community-led energy cooperatives.

“The dangerous heatwaves, typhoons, and rising sea levels we experience today should compel us to elect leaders who will champion renewables—not lock us into dependency on polluting industries,” Cabonegro added.

While the natural gas law is a step towards addressing energy security, critics argue that the Philippines’ long-term energy future lies in sustainable, clean alternatives, not fossil fuels. The call for leadership that prioritizes renewable energy solutions grows louder as the country faces worsening climate challenges and energy price volatility.


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