Green Jobs Act Assessment

Multi-stakeholder consultation on the development of the Green Jobs Act Assessment and Certification System and Guidelines

The Philippine Green Jobs Act of 2016 (RA 10771) provides a policy framework for fostering low-carbon, resilient sustainable growth and decent job creation by providing incentives to enterprises generating green jobs, with focus on developing human capital to enable and sustain the transition to a greener economy.

The Climate Change Commission (CCC), in coordination with other concerned agencies, is mandated to develop and administer appropriate standards for the assessment and certification of green goods and services, and green technologies and practices for the purpose of regulating the availment of incentives and ensuring green jobs content. Under the Green Jobs Act, enterprises may avail of the following incentives:
  1. Special deduction from the taxable income equivalent to fifty per cent (50%) of the total expenses for skills training and research development expenses; and
  2. Tax and duty free importation of capital equipment, provided that the capital equipment is actually, directly and exclusively used in the promotion of green jobs of the business enterprise.
To facilitate the development of the Green Jobs Certification System and Guidelines, the Climate Change Commission, in partnership with the International Labour Organization (ILO) under the Just Transition to a Green Economy Project, held its first multi-stakeholder consultation to clarify issues and gather perspective from relevant stakeholders. In particular, the consultation discussed the following components:
  • Standards for Green Products and Services,
  • Green Jobs Content Accounting Protocol, and
  • Green Jobs Certification Process.
The activity gathered representatives from the Government, employers’ organizations and private sector, workers’ organizations, and other development partners.

The consultation aimed to:
  1. Provide broad perspectives on the Green Jobs Act and the incentives scheme for enterprises
  2. Obtain perspectives on the various considerations in the accounting of green directly or indirectly jobs created by the enterprise including: (a) Setting Claims Boundary, (b) Setting Protocol Principles; and (c) Rules around how to account for green jobs created;
  3. Provide an overview of green product and services standards and obtain initial inputs on product material environmental aspects and respective performance thresholds that will be used to define which products can be considered green and which products are considered conventional; and
  4. Agree on sectoral consultation approach and timelines.