Philippines carbon market framework: Executive Order 127 and carbon credit integrity

The Philippines moved closer to formal participation in international carbon markets when President Marcos issued Executive Order 127. The order directs the Department of Environment and Natural Resources to draft a national carbon market framework within 30 days, with the Climate Change Commission and Department of Finance leading review. It also calls for a Philippine National Carbon Registry to track credits and prevent double counting. The editorial notes that carbon credits can fund forest protection, renewable energy, waste management, and sustainable farming, but only if projects produce verified emission reductions. It flags risks: projects must not harm indigenous peoples or farmers, and local communities should get a fair share of revenue. The framework builds on earlier work, including a 2025 carbon credit collaboration with Singapore. Whether the system works depends on how the DENR writes the rules and enforces them. The registry, independent verification, and clear benefit sharing will decide if Philippine credits are seen as high integrity or dismissed as greenwashing.