Inclusive business models ease access to clean energy

The Board of Investments has said inclusive business models show a promising approach in increasing access to clean power sources.

This as the Philippines moves towards accelerating use of cleaner energy sources and electrification of far-flung areas off the grid, and seeks to power 2.36 million Filipino households without electricity.

Trade undersecretary and BOI managing head Ceferino Rodolfo in a statement said that creating more inclusive businesses in the energy sector has the potential to reach untapped markets that continue to live off the grid.

"As we try to find a balanced approach in meeting energy needs and protecting the environment, we see inclusive business playing an essential role in tapping more sources of clean power,” the official noted.

BOI pointed out that companies that implement inclusive business models make relevant products and services accessible to low-income communities.

They also provide livelihood opportunities to poor communities by tapping its members as suppliers or partners, according to BOI.

Because of their capacity to combat poverty and foster growth, inclusive business models are currently one of the preferred investment activities under the 20172019 Investment Priorities Plan (IPP).

Agribusiness and tourism enterprises with qualified inclusive business models in tourism are eligible for five-year fiscal and non-fiscal incentives.

According to the United Nations Development Programme (UNDP), a growing population continues to rise so will the demand for cheap energy.

The Philippines has long been urged to start building its clean energy capacity as the price of renewable energy sources decline.

Solar and wind power could be more viable in some parts of the country compared to importing coal, studies have shown.

Shifting the country’s reliance from coal power sources to renewable sources could be beneficial in the long-run.