MESSAGE
Salutations…
Mr. Jaime Augusto Zobel de Ayala, Chairman of Ayala Corporation and Co-Chair of Philippine Disaster Resilience Foundation (PDRF);
Mr. Rene Meily, President of the Philippine Disaster Resilience Foundation (PDRF);
Mr. Jose Rene Almendras, President of Management Association of the Philippines (MAP);
Mr. Edgar Chua, Chairman of Makati Business Club;
Mr. Alexander Cabrera, Chairman Emeritus of PwC Philippines;
Hon. Secretary Robert E.A. Borje, Vice Chair of the Climate Change Commission;
Excellencies and members of the diplomatic corps;
Colleagues from the government and partners from the private sector and development community;
Ladies and gentlemen, good afternoon.
Allow me to start with quotes from our President during his State of the Nation Address in 2023:
“The economic agenda cannot and will not ever be incompatible with our climate change agenda. Climate change is now an important criterion in our integral national policies, in planning, decision-making, up to the implementation of programs.
The potential advantages of such enlightened policies extend to jobs and livelihood, with the unlocking of the development of the green and blue economies.”
President Ferdinand R. Marcos Jr.
2023 State of the Nation Address
With these words, the President captures the very essence of DENR’s mandate- to preserve and protect the environment and ensure the sustainable use of our natural resources in the face of climate risk for this generation and those to come.
We are also uniquely positioned on a new development trajectory, with a leadership that understands and embraces both the human drivers of climate change and the inextricable linkages between climate, biodiversity, water, food, energy and a resilient low carbon future. This is what forms our work at the DENR, quite simply there can be no economy without the environment.
As many of you know by now, the period between 2015 to 2023 represents the warmest years on record. 2023 was, in fact, the hottest year in 137 years.
The EU’s Copernicus Climate Change Service reported that between February 2023 to January 2024, average global temperature rose 1.52 degrees above pre-industrial records. By October of 2023, NASA’s global climate change satellite data showed us that the average global sea rise can, in fact already risen to 99.8mm when compared with 1993.
The use of fossil fuels for energy and transportation, loss of forest cover, industrial processes and unregulated land use change for urbanization continue to drive the emission of greenhouse gases into the atmosphere. We have witnessed how the combination of rising temperatures, extreme rainfall or the lack of it are part of the weather chaos that we have seen around the world.
For us in the Philippines, we are now experiencing the different effects of El Nino. We also know that around 20 tropical cyclones enter our area of responsibility each year. Only above nine (9) of which make a landfall. The difference that we have seen is that these nine (9) have actually become more intense and some of them intensified quite rapidly. Post-Haiyan we have witnessed the trio- Quinta-Rolly-Ulysses (Molave-Goni-Vamco) in 2020 sweep across as many as 9 regions. The Office of Civil Defense records show that Typhoon Odette or Rai impacted 11 Regions, resulting in over 400 deaths and over Php255 Billion in losses and damages. An increase in these intense typhoons have in fact been observed PAGASA over the last 65 years.
Dr. Faye Cruz of the Manila Observatory, who is one of the lead authors of IPCC 6 Assessment Report which is Climate Physics Report for Working Group 1 further notes that Pagasa projects that warming will continue, further increasing heat extremes. Drier conditions are expected over the country except for northwest Luzon. More extreme rainfall that can lead to flooding and landslides are projected in some areas of North Luzon, Bicol Region and western Mindanao. Intense cyclones and extreme rainfall events when combined with the subsidence we may have in coastal areas and sea level rise that has increased at times faster than the global average – are the ingredients for disasters that may impact communities, food and water systems and critical infrastructure.
What have we done in response to these hazards and risks?
First step was to understand the risks and recognize that while mitigation was strategic, building capacity for adaptation was and continues to be both critical and urgent. The World Bank had estimated the country was losing up to 1.2 % of GDP annually in the last decade beginning in 2011, that figures actually from rapid onset typhoons alone. This figure did not include the impacts of prolonged periods of drought, which we considered slow onset disasters especially during El Nino years, and the impacts of extreme rainfall events on lives, livelihoods and infrastructure.
Our second step was to take an integrated approach towards crafting new evidence-informed plans on mitigation and adaptation. We did this by completing three key documents in record time and for the first time since the Climate Change Commission was organized, namely: the National Adaptation Plan, the National Greenhouse Gas Inventory and the Nationally Determined Contribution Implementation Plan. These supported NEDA’s Philippine Development Plan 2023-2028’s framework to accelerate climate action and strengthen resilience.
With support from the UK government and Boston Consulting Group, the NAP took 7 months to complete with 27 national government agencies and 15 non-government, private and development partners were consulted. Similarly, the Asian Development Bank worked with us on the NDCIP, which was completed in 5 months with 18 government agencies and 39 non-government organizations consulted.
What you see in that slide is a graphic from the National Adaptation Plan. What is important to note is that climate change scenarios will continue to change as data comes in and models are perfected. This is the ranking that refers to exposure to heat, to extreme rainfall, to flooding. As you can see at the bottom, the granularity of this analysis needs to be appropriated at the level of decision making at the local level. This is provincial level exposure analysis, what we need for local level government is the granularity that allows them to make decisions at the local level.
Both Plans were presented in time for COP28 and were referenced in our negotiations and as part of statements and discussions at the UNFCCC plenaries and between the Department of Finance, the Green Climate Fund, the Asian Development Bank, and the other development agencies, including the French and British Development agencies. These are live documents. Their implementation requires not just whole-of-government but whole-of-society effort. And they must be periodically reviewed and updated so they remain relevant to the changing climate conditions.
On the NAP, it is important to note the complexity of hazards that compound and cascade result in different types of risks. The plan estimates that the cost of inaction within the 2030 decade to the expected the increases in temperature, rainfall changes that are, sea level rise and typhoons is amounting to possibly be P1.4 Trillion or around 8% of 2020 GDP.
These assumptions of exposure are based on climate scenarios that include socio-economic factors in the latest projections of the IPCC’s 6th Assessment Report. Our goal is to build transformative climate resilience, minimize losses and damages, and achieve a sustainable socio-economic development by 2050. The strategies and outcomes address impacts specifically on food security, water resources, health, ecosystems and biodiversity, population migration, and the preservation of cultural heritage. Evidence informed climate and future-proofing of land use and human settlements, livelihoods and industries, energy, transport and communications were identified as factors underpinning economic resilience. Climate finance, risk assessments, issues such as gender equity and social inclusion, technology transfer, research and development, institution building including accountability and stakeholder engagement are among the essential cross cutting outcomes of this plan. The President’s instructions on the NAP were clear, be sure the plan will benefit local communities directly.
As we speak, we are currently working with the DPWH in the Mindanao-wide resilient infrastructure program. Given the recent disasters that have taken place, the President has instructed these be expedited.
On the NDCIP, in our 3,340 MtCO2e, we have committed a 75% reduction in emissions from energy, transport, waste and industrial processes by 2030; 2.71 % of which would be unconditional using our own resources and 72.29% would depend on support from developed countries. The initial estimated cost are still being refined but our commitment to significantly reduce these may be achieved through a combination of targeted policies and measures and climate and energy transition financing and access to technology and nature-based solutions through a combination of changes in the new shifts in vehicle fuel technologies, changes in management of agriculture and livestock, city planning and building better with less, innovative financial instruments, and our entry into both the voluntary and compliance carbon market.
There is a long history of legislation and policy that can enable inclusive, climate and disaster resilient development in the country. Those into creating the Climate Change Commission and the National Disaster Risk Reduction and Management Council are among the most essential. At the DENR we posit that there is a need to meld these in with others that support our mandate to maintain a balanced ecology for all Filipinos – namely the laws on clean air and water, the Expanded National Integrated Protected Area Systems Act, the Extended Producers Responsibility law, the Renewable Energy Act and even our Philippine Mining laws. Our principle role of environmental stewardship and sustainable resource use is engineering resilience through prevention.
On clean air, the DENR is building technical capacity and improving our instrumentation network to more accurately identify sources and manage pollution. I mentioned earlier, that coal-fired plants are continuously monitoring live 30 of them. There are 50 cement plants also connected to our system live at the DENR. While we already maintain that – system, we actually need more data and information. Given that, we recently joined a regional NASA scientific mission to understand the composition, sources and mix of air quality together with our partners in the region – Thailand, Malaysia and the Republic of Korea. These airborne sampling by aircrafts will be used in combination with ground-based samples and satellite observations. This will allow us to better analyze and interpret what we see in order to improve public health by reducing the sources of emissions and their possible role in climate change.
I also would like to add that we were able to board these two aircrafts at Clark and we were able to have five of our employees at the DENR join the airborne missions.
On water, we are deeply grateful for the investments from companies like Maynilad and Mertro Pacific Group in upgrading infrastructure, source management and treatment, especially in this time of El Nino. As you know the President established the Water Resource Management Office at the DENR in April of 2023. To date, we have mapped all the surface water resources in the country, entered into an agreement with the National Irrigation Authority to unlock unutilized water rights and offered 247 potential projects to government and private investors in cooperation with the Department of Finance and the UK embassy. We continue to support the DILG and DPWH in identifying viable surface water projects and opportunities for multi-purpose infrastructure investments that can deliver a combination of safe and sustainable domestic supply, manage flooding, irrigation for agriculture and power at local and regional scales.
On renewable energy, we work very closely with the DOE to update guidelines for offshore wind and floating solar projects. I have just come from a B to B event and the signing of an agreement with Sec. Lotilla. DOE and DENR are working to implement a holistic and evidence-informed assessment of impacts and the streamlining of the permitting processes to accelerate the transition to renewable energy sources. We are also working to determine the mineral intensity of the clean energy scenarios. We are also working with the DOE on ensuring the just transition process, specifically for human resources related to the energy sector. This is especially significant for us in relation to the human resources that we have in the global shipping industry. This sector seeks to reduce their 3% contribution GHG globally to net zero by 2050,. That means, they must shift to Green hydrogen and ammonia fuels. This will require extensive reskilling and upskilling of our almost 1 million seafaring professionals in order to ensure their competitiveness and they will have an effect to face the global trading.
On biodiversity and our green and blue forests, we are completing our geospatial database to strengthen conservation, enhance and regenerate our ecosystems, and scale up biodiversity-friendly enterprises for sustainable livelihood in the communities. As we did for the water sector, for the terrestrial forest, we will be opening for the second quarter of this year around 1.2 million hectares of terrestrial forests for investment in growth and protection for carbon sequestration, timber use, and agroforestry opportunities. We believe that by opening up this sector, we will accelerate our participation in global voluntary, and compliance carbon markets.
And to understand, manage and secure our territorial seas, we have for the first time received a budget to establish marine research stations or the “blue sentinels” representing six biogeographic regions of the Philippine archipelago. The stations will assist us in accelerating our implementation of a “great blue wall” for the country to secure and sustainably use our coastal and marine resources.
We are strategically engaging stakeholders and experts in government, academe, non-government organizations. One of those stations, we are planning to place – El Nido. That in an ongoing conversation. We are also driving the course towards the National Blue Carbon Action Partnership and the National Coral Reef Program. You will be hearing more about these two programs later on in the year as we engage more strategically in blue economy. Both are designed to deliver co-benefits to mitigation, adaptation and contribute to disaster risk reduction.
Lastly, on our mineral resources, the transition to a low carbon future by shifting to renewable energy cannot happen without critical minerals. Our shared challenge is to mine responsibly by restoring and regenerating disturbed environments and disrupted ecological systems to ensure social protection, inclusion and development of our communities as well. These involve processes, technologies and economic and geostrategic realities that we must all confront and face. It is in this light that we have had continuous dialogue with the industry, particularly the Chamber of Mines, partners in development, as well as like-minded countries such as Australia, Canada, Japan, Sweden and the United States. We hope to delve into these challenges and opportunities deeper in the international mining conference we are co-organizing in May of this year.
As I close, allow me to recount what we were able to achieve at COP 28 by first thanking our private sector partners such as the Sustainability group of Ayala. The support enabled us to host the first Philippine Pavilion that showcases new tools, approaches, financial instruments and scalable solutions to climate change. The pavilion hosted 30 side events attended, had close to 1,000 international and local participants, and hosted as well numerous meetings and discussions.
As one of the countries most vulnerable to climate change impacts, we successfully secured a seat on the Loss and Damage Fund Board as a representative of the Asia Pacific Group and have offered to host the Board in the Philippines as well. We are now in a position to contribute to the development of processes, frameworks, modalities to jumpstart the work and steer the direction of the Fund. Latest pledges to the fund are at just under US$700Million. There is much more work to be done.
The Philippine delegation was composed of the climate change commissioners, and representatives from the DENR, DA, DOF, DFA, NEDA, DOST, DOE, and DOLE among others. We worked within 11 work streams, including the areas of food security, climate finance, adaptation, energy and biodiversity. We successfully negotiated key positions in the adopted decisions on the nexus of biodiversity and climate action, the inclusion of the workforce, and quality jobs as well as commitment to access and use the best available science.
My final message today:
You are all agents and leaders of change.
We are at the DENR are a task of launching a National Natural Resource Development Transparency Initiative for climate-resilient development.
My ask is: work with us. The DENR is expected to be just like the movie: Everything Everywhere all at once. Our office is 30 Million hectares of land, 36,000 kilometers of coastline and 2Million square kilometers of territorial seas. With just a shade under half a per cent of the national budget, we cannot this alone.
Mitigation, adaptation and disaster risk reduction are critical elements in our race to resilience. These tasks must be informed by science and they are for the whole of society and not just the whole of government
The first ask is: embrace circularity and embed EPR in you ESG. Even if you are not registered as an obliged enterprise, you can prevent that piece of plastic from going into our rivers and oceans by making sure it goes where it should once it leaves your desk or your hands. Consider investments in industrial scale recycling. There are transitional and highly developed technologies here and in other countries that are able to deliver social, environmental and financial returns.
Secondly, we need to make adaptation and disaster risk reduction priorities. We are hosting the Asia Pacific Ministerial Conference this year. A golden opportunity to learn and do more.
We urge you to adopt your host ecosystems and communities beyond your fence lines, as stewards and partners, not just as part of your CSR, but as part of your core business value cycles. We have a program called TRANSFORM – which engages local governments and stakeholders in the private sector in resilience building.
My last message is, think Blue. We have been focused on our land -based ecosystems. The first talk I gave at COP 28 was on “No Paris without the Ocean”. As an archipelagic country we must not miss the fact that our seas and the ocean are the most vital global climate regulator and therefore the main source of our survival. We need you not just to help build up our country’s great blue wall, but to grow, secure and protect it for this generation and those yet to come.
Thank you. ###