DBP allots P19B for Green Financing Program

MANILA, Philippines - Development Bank of the Philippines (DBP) has allotted almost P19 billion for its Green Financing Program (GFP), a top bank official said.

DBP president and chief executive officer Francisco F. Del Rosario Jr. said they remain committed to further support a more integrated approach for investing in environment-friendly processes and technologies.

He said the GFP is the bank’s umbrella program for the environment sector and supports the Philippine Development Plan’s objective of a cleaner and healthier environment.

“We have initially allocated P18.9 billion for the program which is designed primarily to further assist industries and local government units (LGUs) in the integration of environmentally-friendly processes and technologies such as cleaner production, water conservation, proper waste management, energy efficiency, air quality improvement, pollution prevention and control, among others,” he said.

To date, DBP has P10.9 billion in pipeline projects under the GFP. 

Most of the projects, are for the acquisition of e-vehicles in the National Capital Region, Cavite, Ilocos Norte, Nueva Vizcaya and Guimaras. 

Other pipeline projects include construction of bio-ethanol distillery, power and wastewater treatment plants, construction of a green charcoal plant, a ferro-nickel smelting plant, and construction of a sanitary landfill.

The DBP chief said the GFP would also promote green projects of both the private and government sector by providing financing and technical assistance. 

“It specifically aims to reduce the environmental footprint from industrial operations and LGU projects, enable industries to achieve production efficiency and become globally competitive in the fast-growing green markets, and help the private and public sectors comply with environmental laws and regulations,” he added.

The maximum loan amount would be determined based on eligible loan components, funding requirement of the sub-project, borrowing capacity of proponent, and cash flow of the project.  

Eligible borrowers are private corporations, LGUs, government-owned-and-controlled corporations, government agencies, cooperatives, and participating financial institutions or microfinance institutions.

Projects eligible for financing include pollution and waste management projects, green building construction and property management including hotels, resorts, and restaurants, green transport, and other environment-friendly initiatives like energy efficient lighting, urban greening, rehabilitation of water bodies and endangered ecosystems, and eco-tourism projects.

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