The government is readying a 10-year program that provides a comprehensive fiscal and non- fiscal support of P83 billion over 10-year period to the electric vehicle (EV) industry.
Evariste Cagatan, director for manufacturing industries service of the Board of Investments (BOI) in her presentation at the Philippine Electric Vehicle Virtual Summit last Friday, said the Electric Vehicle Incentives Scheme (EVIS) will jumpstart and accelerate the development of the EV industry.
Cagatan said the EVIS hopes to get the traditional automotive industry shift to EVs.
Similar to Comprehensive Automotive Resurgence Strategy, EVIS will grant subsidy to EV manufacturers with incentives that are time-bound, performance-based, transparent and targetted.
Cagatan said EVIS is two pronged: it supports the manufacture of EV units and the manufacture of strategic EV parts and components such as batttery and auto electronics in which the country has comparative advantage.
With the EVIS, Cagatan said, the Philippines aspires to have 21 percent of total vehicle population in the country to be electric with focus on public transportation.
The EVIS will provide production support of P30 billion to manufacturers of electric public utility vehicles, buses, and two and three-wheelers passenger cars, batteries, subelectronics (ADAS, GPS, controller etc) and charging stations.
The program will also grant P53 billion consumption subsidy through fiscal support to buyers of e-jeepneys, e-motorcycles and e-tricycles to narrow the cost difference with traditional internal combustion engines.
“Ultimately we aim to become the third auto manufacturing hub in Asean and a global manufacturing hub for low cost transportation and commercial vehicles,” Cagatan said.
She said the swift passage of a bill on the EV industry filed by Sen. Sherwin Gatchalian would provide a “great impetus that the EVIS provision will be approved as well.”