A CITIZEN advocacy group has called on the Tariff Commission “to act with urgency” on the Department Of Energy’s (DOE) recommendation to include two-and three-wheeled vehicles in an executive order providing incentives to the importation of electric vehicles.
Lawyer and former congressman Christopher Belmonte, co-convenor of CitizenWatch Philippines, said while the EO covering four-wheeled electric vehicles is already commendable.
“It has to expand to cover other vehicles that are more affordable to maximize the full impact of green transport options to the Filipino public.
“This will certainly accelerate the shift away from air-polluting vehicles and provide an even better mobility experience to the people,” Belmonte said.
Electric vehicles, being new technology that is not yet in the mainstream, may come at prices beyond the purchasing power of ordinary Filipinos even if they shift to environment-friendly commuting, and even if they are clearly starved for efficient transport options given the sorry state of public transportation in the country.
“Most importantly, the soaring price of fuel has made many Filipinos suffer,” Belmonte said.
“The government has to do its part by enabling the people to make this shift, by making it easier for them to own electric vehicles,” he said.
EO 12 series of 2023, signed by President Ferdinand Marcos Jr. last January 13, invokes Republic Act 11697 or the Electric Vehicle Industry Development Act that says the State to provide an enabling
environment that permits the development electric vehicles, including options for micro-mobility as an attractive and feasible mode of transportation.
The transportation sector, it says, contributes 34 percent to air pollution and energy-related greenhouse gas emissions. Road transportation accounts for 80 percent of these emissions.
Thus, “to protect the health and well-being of the people from the hazards of pollution and greenhouse gases,” the EO temporarily modifies the import duty on electric vehicles and their parts and
components.
Specifically, the EO lists vehicles that qualify for the temporary, suspension of tariff rates for a period of five years. But while
tariffs on four-wheeled electric vehicles are suspended, those for two- or three-wheeled electric vehicles are not.
The DOE has submitted its recommendation to the Tariff Commission for the inclusion of two- and three-wheeled
vehicles in the EO. But there has not yet been any action on the recommendation.
The DOE’s energy utilization management bureau director, Patrick Aquino, says they are confident that the TC will consider their
proposal, as it is also being pushed by the National Economic and Development Authority (NEDA) and the Department of Trade and Industry
(DTI).
The DOE earlier said that it is pushing for a faster rollout of electric vehicles (EVs) in the Philippines to help reduce dependence
on imported and expensive fossil fuels.
They are looking at rolling out over 2.43 million electric vehicles that would significantly cut down carbon emissions and bolster
investments. This would then create a new EV industry by 2028.
Belmonte said the impetus for a shift to clean energy has been there for many years and the soaring price of oil makes EV the sensible
alternative for serving the mobility needs of millions of daily commuters.
“The clamor for accessible transport options powered by green technology is aligned to the people’s need to get to their daily
destinations in a less expensive and environment friendly way,” Belmonte said.
Belmonte stressed that, “delaying the inclusion of e-bikes in the five-year zero import tariff incentive of EO 12 is a policy disconnect from
the government’s commitments to reduce carbon emissions. The opportunity to develop an electric vehicle industry as a new economic
driver will not happen if our policies are halfhearted.”
“We hope that the Tax Commission will soon respond positively to the clamor from the DOE, consumer groups, environmental advocates, and
industry stakeholders expand the importation incentives the 2 and 3 wheeled EVs for the benefit of the great majority of our riding public
and our environment,” Belmonte said.
