July 22, 2018, 11:55 pm
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Perks to cut EV price by as much as P1M

The Philippine electric vehicle (EV) industry now has the capacity to produce 80,000 units annually mostly for e-trikes and e-jeepneys and the number of players has grown to  30 players  which  have invested half a billion pesos.

But high acquisition cost  remains a deterrent to increased  adoption rate for e-vehicles.

Nissan Philippines and Mitsubishi Motor Philippines Corp. believe a waiver of taxes and duties would slash the price of their e-vehicles by as much as a million pesos.

Nissan announced its intention to launch the Nissan Leaf in the Philippines while Mitsubishi  plans to introduce the iMiev and the Outlander PHEV (plug-in hybrid EV) once the incentives are finalized.

According to Dax Avenido, Nissan Philippines assistant general manager for Communications,  exemption from the 30-percent tariff on Nissan Leaf will reduce its price to P1.4 million from P1.9 million.

Renato Lampano, vice president for Business & Public Relations of Mitsubishi, meanwhile said a waiver of the duty and the 50-percent excise tax on Outlander PHEV sport utility vehicle would slash its price to  P2.5 million from P3.5 million.

Out of the 80,000-unit  capacity of the local market, only 3,300 units have so far been produced of which 3,000 are e-trikes and the rest are e-jeepneys deployed in specific routes.

About 15,000 e-motorcycles are being imported from China annually. 

Locally-assembled e-jeepneys are now priced at P1.4 million to P1.6 million.

Rommel Juan, president of the Electric Vehicle Association of the Philippines (EVAP) in a press conference, said the Alternative Fuel Vehicle (AFV) bill  now with the Office of Sen. Sherwin Gatchalian, would push for the tax and duty-free importation of parts, motor chargers, controllers and batteries which would help bring down the prices of EVs.

Juan said the EVAP’s  primary request is for the removal of the 30-percent duty on completely built-up units.

The bill would also seek non-fiscal incentives such as free parking, exemption from number-coding (which is now allowed for e-jeepneys), establishment of more charging stations and green lane registration.

The group is also lobbying for a $2,000-rebate on e-vehicles.

In a speech read for Trade Secretary Ramon Lopez at the 6th EV Summit at he SMX Convention Center in Pasay City, Board of Investments (BOI) governor Henry Co said new players have entered the local EV industry.

Co said  QEV Philippines is set to put up and operate fast-changing stations for EVs in major areas in Metro Manila and neighboring areas while  Le Guider International is capable of manufacturing e-cars, e-jeepneys, and e-trikes locally. 

Major players now include Bemac, Phil Etro and PHUV.

Co said BOI offers offering both fiscal and non-fiscal incentives under the Omnibus Investments Code and  the Motor Vehicle Development Program which slaps zero or 1 percent duty on  imported parts and components for the assembly of motor vehicles; 

An automotive policy also adjusted duty rates  on components, parts and accessories for the assembly of hybrid, electric, flexible fuel, and compressed natural gas (CNG) motor vehicles. This policy also provides zero tariffs for EV components, parts, and accessories for the assembly of hybrid, electric, flexible fuel, and CNG motor vehicles.

Co said the AFV bill will provide fiscal and non-fiscal incentives for the mainstream use, manufacture, assembly, and conversion of electric, hybrid, and other alternative fuel vehicles, and other products related to these. 
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