Monday, May 19, 2025

Infra, financing issues resolution will unblock PUVs upgrade — Hyundai distributor

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Resolution of issues involving infrastructure and financing would hasten the adoption of electric vehicles (EVs) in public transportation, Hariphil Asia Resources Inc. (HARI), exclusive distributor of Hyundai trucks and buses in the Philippines, said.

Hariphil expressed its position through its president and chief executive officer, Ma. Fe Perez Agudo, on the sidelines of the Hyundai Mobility Expo in Alabang, Muntinlupa.

Agudo said the bulk of the sales of its newly launched EVs will come from the Public Utility Vehicle Modernization Program.

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“We are dependent on the government’s support for the modernization program. If the funding is released earlier, we can move further, work faster on our orders from the cooperatives, “ Agudo said.

“We have been experiencing challenges with the program, but we believe there is a resolution that the Department of Transportation (DOTr) is working on,”  Agudo said.

The company has received about 1,000 orders for its newly launched vehicles at the expo, including its initial lineup of electric commercial vehicles, such as the Hyundai Mighty Electric, a light-duty electric truck, and the Hyundai County Electric, a people-moving EV.

 It also launched the HARI Cab, which is locally assembled with an internal combustion engine (ICE).

“The screening process is very meticulous. It really is a test of your financing capability and, of course, the credibility of the cooperatives for them to fully pay the vehicles that will be financed,” she added.

At the expo, DOTr Secretary Vince Dizon, in a speech read by Reymundo de Guzman Jr. from the Office of Transportation Cooperatives, said the agency’s direction under the Public Utility Vehicle Modernization Program is clear: a transition towards a low-emission, safe, efficient, and people-centric public transport.

The program is under review following Dizon’s issuance on March 31 of Special Order No. 2025-152, which created the Special Committee for the Review of the Public Transport Modernization Program.

Agudo said HARI has aligned the introduction of its EV lineup with the government’s mandate that 5 to 10 percent of its fleet be EVs.

“We should be able to capture that,” Agudo said, adding that HARI is the first to roll out EV trucks and buses commercially.

She said the challenge is for the private and public sectors to improve and increase infrastructure, like charging stations.

“Range anxiety,” involving car battery life, is a prevailing concern among car owners and auto makers. That‘s why Agudo emphasized a “balance between infrastructure development and availability of electric vehicles.”

Car sales will be faster than the infrastructure development. Still, it will reach a particular trajectory in that the infrastructure will be faster than the sales, Agudo said, adding that the Philippines now has 874 charging stations.

Agudo said HARI intends to develop its infrastructure so that all dealers have charging stations.

”It’s going to be a whole ecosystem that we have to look at, but we’re not in a rush,” Agudo said.

While Agudo believes adopting EVs in the commercial vehicle industry will take time, the foundations are already being laid.

Agudo said the government is driving the shift to electrification through tax incentives for consumers and car makers, reducing costs associated with EV adoption, to support longer travel distances and broader access.

Agudo said new financing models—including leasing, subscription services, and government-backed loan programs—would address financial barriers.

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