Gatchalian looks at carbon tax to spur RE development
Senator Sherwin Gatchalian is suggesting the imposition of a carbon tax in the country to help renewable energy developments compete with coal plants.
“We’re studying that I think it’s about time to look at that and make it a law so we will have some form of carbon trading,” he said.
“It’s also to have a financial mechanism to make it financially viable for generators,” he added.
Apart from supporting renewable energy developers, the carbon tax will also take into consideration the impact of carbon emissions on health and the environment, Gatchalian said.
According to the World Bank, A carbon tax directly sets a price on carbon by defining a tax rate on greenhouse gas emissions or – more commonly – on the carbon content of fossil fuels.