A top ranking official of the EU Parliament has recognized the good progress in the Philippines’ good governance, labor, human rights, and environment – areas that are crucial in the country’s continued privileges under the EU Generalized Scheme of Preferences Plus (GSP+), which allows the duty-free entry of at least 6,200 Philippine products to the 27-EU member states,
Department of Trade and Industry Secretary Fred Pascual met with the Vice President of the European Parliament Mrs. Heidi Hautala to underscore stronger PH-EU relations on June 27, 2023 in Brussels.
Trade and Industry (DTI) Secretary Alfredo E. Pascual reported this development after meeting with EU Parliament Vice-President Heidi Hautala on June 27 in Brussels.
During the meeting, Pascual provided updates on the recent developments in the county in the areas of good governance, labor, human rights, and environment.
Pascual also underscored the need to continue the EU GSP+ and ensure that in the transition to the new scheme the preferential arrangement is not interrupted.
Pascual said that Hautala recognized the good progress in the Philippines especially in the areas of good governance, labor, human rights, and environment with a view that these positive developments continue. She also expressed optimism for stronger and more stable PH-EU economic relations.
Given that the Philippines can serve as the EU’s strategic partner in the Indo-Pacific region, Pascual also urged Hautala to support the Philippines’ bid for the resumption of the PH – EU free trade agreement negotiations.
Likewise, Pascual highlighted investment opportunities in the Philippines such as in the areas of renewable energy, digital technology, and manufacturing which EU companies can take advantage of.
In a separate event in Brussels, Pascual made another pitch for the country’s abundant green metals resource in the global shift towards green energy.
Pascual made his pitch at the Philippine Business Forum on Green Energy and Digital Technologies together with members of the EU-ASEAN Business Council and the European Chamber of Commerce in the Philippines (ECCP), the DTI-Board of Investments (BOI). Pascual is in Europe for a 3-week investment roadshow.
The forum discussed the country's enabling investment climate, emerging market trends, and its commitment to energy transition and digital transformation.
In his speech, Pascual addressed the urgent matter of transitioning to clean, green energy in the Philippines. “The shift to green energy presents not only an environmental imperative but also a remarkable economic opportunity. We recognize the EU’s successful implementation of renewable energy policies, which will be instructive in accelerating our own energy transition in the Philippines,” he said.
In addition, Pascual also emphasized the huge opportunities present in the country for sustainable manufacturing, services, and connectivity given the abundant critical mineral reserves present.
He underscored that key industries such as electric vehicles (EVs), battery manufacturing, mineral processing, electronics, and semiconductors can utilize these resources coupled with reforms and amendments in existing laws for foreign investments, which includes the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act, the Executive Order on Green Lane Investments and 100 percent foreign ownership in renewable energy (RE) projects.
The forum, organized by the Philippine Trade and Investment Center in Brussels (PTIC-Brussels), also featured the Philippine Department of Energy, Semiconductors Industries of the Philippines, Inc. (SEIPI) and IT and Business Process Association of the Philippines (IBPAP), being in the forefront of innovation in the green and digital technology sectors that shared their success stories, solutions, and growth plans.
Through the comprehensive presentations and interactive panel discussions, the forum provided a huge avenue to foster meaningful dialogue between key stakeholders in the Philippines, Belgium, and wider Europe.
Pascual stressed the abundant renewable resources present in the country like solar, wind, hydro, and geothermal power that remain untapped.
He cited that the Philippines is currently the world’s third-largest geothermal capacity with an estimated average solar radiation of around 165 watts per square meter, and tidal energy with a potential of up to 170 GW of capacity.
He also cited the country’s initiative in introducing the National Renewable Energy Program (NREP) 2020-2040. Hence, by aligning our standards with European requirements, we can improve access to Philippine green energy products, services, and the global clean energy value chains.
For their part, Assistant Secretary Mylene Capongcol discussed the efforts of the Department of Energy. “We have market development policies in place, both mandatory and voluntary policies, for on-grid and off-grid areas,” said Capongcol.
SEIPI President Danilo Lachica stressed that the Philippines needs renewable energy resources, specifically energy supply storage, given the large power consumption of Filipinos.
Alongside this, the Philippine delegation also discussed the significance of strengthening the digital industries, particularly the IT-BPM sector. They cited the pivotal role of this sector in the Philippine economy as they provide global markets with vertical-focused solutions.
IBPAP President and CEO Jack Madrid expressed optimism that in the next five years, their industry roadmap projects that up to 40 percent of the workforce will be outside Metro Manila. He also boasted their commitment to adding around one million more jobs outside the country’s capital in an effort to decongest the metro and provide further opportunities for those in the provinces.