Greenwashing liquefied natural gas undermines PH's climate goals

In his past State of the Nation Addresses (SONA), President Marcos Jr. has repeatedly cast himself as a champion of climate action, placing renewable energy “at the top of [his] climate agenda.”

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He has previously pledged to raise renewables’ share in the power mix to 35 percent by 2030 and 50 percent by 2040, backed by nearly 3 trillion in green lane certification investments. Yet since he took office in 2022, renewable energy’s share has stagnated at around 22 percent.

Liquefied natural gas is a false promise

Instead of accelerating the shift to renewable energy, the Marcos administration has doubled down on liquefied natural gas (LNG), misleadingly branded as a “transition” fuel.

Under the Philippine Energy Plan, gas capacity is expected to grow from 3.7 to 6.1 gigawatts by 2030, even as the Malampaya gas field nears depletion by 2027. Without new domestic sources, the country will be forced to rely on imported LNG.

Since 2023, two LNG import terminals have been operating in Batangas, partially owned by Japanese firms — Tokyo Gas, Osaka Gas, and the Japan Bank for International Cooperation. As Japan’s domestic demand for LNG declined, these companies redirected excess supply by promoting gas infrastructure across South and Southeast Asia effectively manufacturing demand, with over 30 gas-related projects underway in the region.

In the Philippines, this has come at a steep cost: Each LNG shipment has been priced at around $45 million. As with other fossil fuels, these expenses are typically passed on to consumers through “pasaload” or the automatic fuel pass-through provision in power contracts.