Pure Energy Holdings Corp. (PEHC) said that the issuance of green bonds will bolster private-sector funding of renewable energy (RE) projects in the country, adding that the demand for green bonds should rise once the Securities and Exchange Commission (SEC) sets out new guidelines for its issuance.
“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 especially with the rise of oil prices due to geopolitical tensions and a weaker peso,” said Dexter Tiu, CEO of Pure Energy Holdings Corporation.
Green bonds have seen a strong growth in the international market last year with an issuance record of USD 157 billion. Pure Energy sees this as an investment opportunity for the Philippines despite cost and demand issues which some investors are unwilling to take.
“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.
The growing demand for RE in the local market is seen by Tiu as 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 admits that the RE sector has a long way to go to convince investors and general public alike 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.
Pure Energy Holdings Corp. is an investment holding company aiming to strategically acquire assets, develop natural resources that are sustainable, and be a basic provider for the needs of the community. It is currently engaged in renewable energy and bulk water services and or distribution to various cities, municipalities, and communities in the Philippines.