Pure Energy Holdings Corp., an investment holding company with interests in renewable power and bulk water supply and distribution projects, is upbeat on the potential of Philippine green bonds in the country.
The Securities and Exchange Commission is currently drafting the guidelines on the issuance of green bonds under the Asean Green Bonds Standard.
“We are closely monitoring the potential of green bonds in financing renewable energy projects in the country. Renewable energy is sound and sustainable alternative energy source, specially with the rise of oil prices due to geopolitical tensions and a weaker peso,” Pure Energy chief executive Dexter Tiu said.
Pure Energy sees the bonds as an investment opportunity for the Philippines despite cost and demand issues from some investors.
“Investors should look past numbers and examine closely their investments. Investing in green bonds is not just profitable but proves to be a great investment in the long-run as it helps reduce greenhouse gas emissions through supporting RE projects. While green bonds are still at its early stage in the country, I am optimistic that local investors will see it as a growing asset and tap this potential investment,” said Tiu.
He said the growing demand for renewable energy in the local market was also a good opportunity for banks, investment companies and renewable energy industry leaders to consider the green bond market as the next frontier for renewable energy in the country.
However, he noted that the renewable energy sector had a long way to go to in convincing investors and the general public to shift to sustainable energy.
“The continuous decline of RE prices enables the RE sector to gain more traction but shifting to sustainable energy remains to be a challenge that we are proud to advocate for. We continue to be positive that issuance of green bonds will become the future of renewable energy financing in the Philippines marked by a stable bond market,” Tiu said.