Recently, residents in Metro Manila woke up to an overcast, foggy morning sky. Conjectures attributed it to another impending eruption of Taal Volcano, like it did in 2020.
Phivolcs clarified that the smog that covered Metro Manila was not caused by the volcano; it was rather pollution trapped in the lower levels of the atmosphere.
It was a surprise to many because, while traffic congestion has been worsening after the pandemic and Manila was identified as one of the most congested cities in Asia, it rarely brought to the public’s attention that the air pollution it causes is so serious.
During the pandemic, people noticed that, due to the lockdown implemented in most countries, air quality improved and we were seeing clearer skies, but the situation changed rapidly as almost everything was “back to normal”.
Countries are doing their bit to mitigate air pollution and slow global warming.
The European Union set a goal to cut carbon emissions by at least 55 percent and source 45 percent of its energy from renewable sources by 2030.
Starting today, EU’s carbon border adjustment mechanism, a carbon tariff on carbon-intensive products, will enter its trial phase.
The transition phase of CBAM, from October 2023 to December 2025, will require exporters to submit emissions reports to importing partners. From January 2026, CBAM will be implemented and initially apply to imports in the emissions-intensive sectors deemed at greater risk of carbon leakage: cement, electricity, fertilizers, iron and steel, aluminum and hydrogen.
From 2026, EU importers will start paying a financial adjustment by surrendering the amount of CBAM certificates that correspond to the emissions embedded in their imports. The EU Emissions Trading System’s free emission allowances are to be replaced by the CBAM gradually from 2026 to 2034. Thus, CBAM, the CO2 border tax, will be fully phased in at the start of 2034, when free carbon certificates are eliminated.
In the Philippines, electric vehicle adoption was given a boost by Executive Order No. 12 issued in January, which reduced the tariffs on certain EVs to zero for five years, effectively lowering vehicle prices and encouraging people to purchase EVs.
The EO covers EV segments such as cars, buses, vans, trucks, kick scooters, self-balancing cycles, bicycles and pocket motorcycles with auxiliary motors not exceeding 250 watts and with a maximum speed of 25 kilometers per hour. Nonetheless, electric motorcycles were excluded from the EO, and are still subject to a 30-percent tariff.
In Taiwan, to encourage people to stop buying fuel vehicles by 2040 and achieve the target of net zero carbon emissions by 2050, people who buy new electric motorcycles enjoy a subsidy from the government varies from NT$5,100 to 7,000, equals to 8,990 to P12,340, depending on the model purchased until the end of 2026. If the battery cores, negative electrode materials, electrolyte and copper foil used in the electric motorcycles are all domestically produced, each vehicle will receive an additional subsidy of NT$3,000.
Until the end of 2024, people who replace their more than 10-year-old car with an electric car will get a NT$15,000 to 18,000 subsidy in Taiwan.
While Singapore and Taiwan launched their first carbon exchange platform Climate Impact X and Taiwan Carbon Solution Exchange in 2021 and August 2023, respectively, Indonesia also started its carbon trading market on 26 September.
President Joko Widodo attended the launch, saying the exchange could create a new sustainable economy, estimating it has the potential to be worth at least Rp3,000 trillion ($194 billion).
“This will be a new sustainable economic opportunity as the world is heading toward the green economy,” he said.