Zero tariff for electric vehicles pushed until 2040

MANILA, Philippines — The Electric Vehicle Association of the Philippines (EVAP) is pushing for the extended implementation of the zero tariff on EVs until 2040 to support the continued growth and adoption of these vehicles.

EVAP vice president Carla Buencamino told reporters during ACMobility’s EV Safety Learning Program launch that the industry group wants the zero tariff for EVs to continue until 2040.

“That would be the ideal scenario and we hope that this is considered by the government,” she said.

She said that there is a need to sustain, if not further improve the incentives being provided to encourage EV adoption and support its continued growth.

The government has removed the tariff on EVs including battery electric vehicles, hybrid electric vehicles, plug-in hybrid electric vehicles and certain parts and components until 2028.

As part of the push for sustainable transport, the government has set an EV penetration goal of 50 percent by 2040 and 60 percent by 2050.

To reduce reliance on fuel imports amid the global oil crisis, Energy Secretary Sharon Garin earlier said that the government is looking to raise the targets and have EVs account for 60 percent of the country’s vehicles by 2040 and 80 percent by 2050.

Last June, Sen. Sherwin Gatchalian filed Senate Bill 2270, which seeks to amend Republic Act 11697 or the Electric Vehicle Industry Development Act by extending the validity of fiscal and non-fiscal incentives from eight to 12 years and by imposing a zero percent import duty on EVs, as well as related equipment and infrastructure.

The bill also seeks to provide additional non-fiscal incentives for EV users, including waived or discounted parking fees, toll-free access to dedicated EV expressway lanes and a Buy Now, Register Later program.

Buencamino said that the EVAP supports these initiatives, citing the need to continue to support the EV industry.

Beyond incentives, she said the EVAP wants the government to take the lead in EV adoption as a large procurement body.

During his last State of the Nation Address in July, President Marcos said that the government has been mandated to prioritize EVs in their re-fleeting plans.

“Today, there is already a lot of adoption within the private sector and we hope that this continues as the government pushes or continues to support the transition,” Buencamino said.

In terms of charging infrastructure to support EV growth, Buencamino said that streamlined government processes would facilitate faster rollout.

She said that ACMobility is on track to reach its target to have more than 1,000 EV charging points within the year.

So far, ACMobility has deployed over 500 charging points in more than 230 locations nationwide. Around 70 percent of ACMobility’s charging points are in the Greater Metro Manila area.

Through its EV charging solutions arm Greenstrum, ACMobility is also supporting businesses that want to have their own EV charging capacity amid growing EV usage.

As part of efforts to push EV adoption, ACMobility launched its EV Safety Program to address common misconceptions about EVs and help consumers make informed decisions on the shift to electric mobility.

“As we continue to build an end-to-end electric mobility ecosystem, our ultimate priority is to empower the Filipino driver to make the shift to a more sustainable and cost-effective transport option. We are taking on the commitment to spread EV safety awareness through the Drive Electric EV Safety Program, which aims to equip Filipinos with practical tools and accessible technical knowledge on EVs,” ACMobility CEO Jaime Alfonso Zobel de Ayala said.