Climate Tax on electric power consumption filed in Congress
House Bill No. 4739, also known as the “Piso Para sa Kalikasan Act”, has been filed in Congress which aims to impose a Climate Tax on electric power consumption.
Camarines Sur, 2nd District Representative, Luis Raymund F. Villafuerte Jr., has filed the HB No. 4739 which introduces the climate tax – a levy on the level of carbon dioxide emissions from electricity consumption, which he considers as one of the “aggressive measures to address the greenhouse gas (GHG) emission crisis.”
The Climate Tax on Electricity (CTE) shall be equal Php1.00 per 1kg of CO2. It will be imposed on the monthly electric power consumption per electric utility bill of every residential user of electric power utilities in proportion to the CO2 emission generated from electricity consumed. Below is the formula:
E x 0.553 = CTE
E is the electricity consumption in kWh;
0.553 is the CO2 emission in kilogram per kWh of electricity;
CTE is applicable tax
So for example, my last electric bill has a total kWh of 371 with a total current amount of Php3,272.40:
My applicable tax is 371 x 0.553 = Php205.16 CTE
There are a few exemptions, though:
a) The monthly electricity bill does not exceed 60kWh; or
b) Any form of Renewable energy is used as a source of electricity.
“This bill is a first of its kind in the country. It recognizes the unfortunate status quo of the environment and encourages every Filipino to act now. The proceeds of the fund shall be used to explore alternative and cleaner sources of energy, provide better public transportation, and disseminate climate change awareness.” said Villafuerte, Jr. in the bill’s explanatory note.
“In October 2016, the country submitted its Intended Nationally Determined Contribution (INDC) to the United Nations (UN) where it intends to undertake GHG emissions reduction of about 70% relative to its Business As Usual scenario of 2000-2030.”
Hit the source link below for the copy of House Bill No. 4739.