DOE to spearhead $70-M e-tricycle project

MANILA, Philippines - The Department of Energy (DOE) will spearhead a $70-million project that aims to introduce about 20,000 electric tricycles, or 10 percent of the total number of registered tricycles in Metro Manila. 

Energy Secretary Jose Rene Almendras said the proposed project will enable the country to save about 100,000 liters of imported oil daily, with an annual savings of $36.5 million.

The project, Almendras said, is expected to develop local capabilities to design and maintain small-sized electric cars.

The energy chief said this investment will attract private investors to set up local manufacturing facilities, creating employment.

“Since the country is taking the lead in this region on electric cars, it may also be able to export locally assembled units to the region in future,” he said.

The DOE is working closely with the Asian Development Bank (ADB) to develop a National Electric Vehicle Strategy.

“While the strategy is being developed, DOE will start introducing electric tricycles and jeepneys working closely with local entrepreneurs and technical experts. The agency is currently developing a sustainable model for introducing electric tricycles,” he said.

He said the DOE project will need total investments of about $1 billion over the next five to seven years, which will be mobilized by ADB and other multilateral investors, including $125 million from the Clean Technology Fund.

The DOE recently turned over two electric tricycles to Mandaluyong City as part of the National Government’s program in lessening carbon dioxide emissions. 

The DOE is currently implementing the Philippine Energy Efficiency Project (PEEP) with the use of electric vehicles forming part of its strategy.

“The e-tricycle project is a great opportunity for us to veer away from the use of imported petroleum products and use electricity instead.  Since the technology used in this tricycle is from lithium-ion, charging these tricycles will only take three hours and you can use them for a longer time.  As an added value, tricycle drivers will only need to pay P50 a day per charging instead of the usual P250 when you refuel,” Almendras said.

“Since only the Philippines is the country in the ASEAN which uses a lot of tricycles nationally, the government would prefer that these tricycles be made here.  This way, not only are we solving the climate change concern, we are also addressing the issue of job generation.”

The initial turnover will consist of two e-tricycles with an additional 20 to follow by next month or January next year. The units are financed by the Asian Development Bank (ADB) on a grant basis and will be handed over to Mandaluyong City in early January.