THE SECOND Philippine Electric Vehicle Summit recently held
at the Meralco compound last May 24 to 25, 2012 was a huge success, judging
from the support it received not only from the government but also from the
private sector. This was the assessment made by Rommel Juan, president of the
Electric Vehicle Association of the Philippines, one of the summit organizers.
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| Photo courtesy of electric vehicle summit organizer Rommel Juan. |
Government, foreign and local industry support
The EV summit also brought together for the first time local
and foreign EV industry players under one roof. “It was an opportunity for the
local EV industry to discuss where we are right now, what we now have and what
we plan to do in the future. DOE Undersecretary Loreta Ayson presented its “Fueling
Sustainable Transport Program” that covers, among others, the EV industry for
the next decade. Manny Pangilinan, president and CEO of power provider Meralco
also laid out its EV vision and the support it could give the EV sector,
specifically on the most important infrastructure the EV industry needs,
charging stations. He even indicated Meralco’s interest in going into possible
joint venture manufacturing of electric vehicles and components,” Juan adds.
He also says that the summit brought together the biggest
collection of electric vehicles in one event, from two to six wheelers.
“We had everything from electric bicycles, scooters,
motorcycles, quadricycles, jeeps, jeepneys, off-road vehicles, all-terrain
vehicles and a bus for everyone to see and test drive. We even had the Segway and
Mitsibushi’s pure electric car now commercially available outside of the Philippines,
the i-MiEV”.
The summit also drew the presence of major EV players from
Japan, Korea and Taiwan. Ferdi Raquelsantos, president of the Motor Vehicle
Parts Manufacturers of the Philippines, notes that the local EV industry
players are fortunate to hear them share their EV experiences and best
practices.
“But what is more important is that they came here looking for
either buyers, local distributors or even joint venture partners so they can
locally manufacture and assemble EV parts, components and services. We met with
them face-to-face in B2B meetings. This is what we need to bring the local EV
industry to the next level and who knows, if we just play our cards right, we
could be the manufacturing hub for electric vehicles, parts and components for the
Asean region”.
How the government
can help
DOE Secretary Almendras explained that government is so
serious with its Alternative Fuels Vehicle Program that he spends about two
hours every week just discussing and monitoring its development. He had also
pushed hard for NEDA and presidential approval of the $500 million eTrike
program to be administered by the DOE and to be funded by the Asian Development
Bank with a $99 million counterpart fund from the Philippine government. “The
good news is that for this program, the eTrikes will have to be manufactured
and assembled right here in the Philippines. This will not only provide
employment but will also spur the growth not only of the local EV industry but
also of its support industries,” he explains.
The $500 million eTrike project he mentioned aims to replace
the smoke-belching gasoline-powered tricycles in the country. Sohail Hasnie,
principal energy specialist of the ADB explains that today, there are some 3.5
million tricycles in the Philippines, both registered and not. “Some 200,000 of
these are here in Metro Manila. All together, they discharge some 10 million
metric tons of carbon monoxide annually into the atmosphere. The eTrike program
will replace 20,000 units in Phase 1 and another 100,000 units in Phase 2. We
are now pilot testing 20 units in Mandaluyong City to formulate an operational
template for its subsequent implementation in 15 urban areas in the country,” he
adds.
For his part, DTI Secretary Domingo said that he has tasked
DTI offices in the East Asia region to organize missions composed of leading
players in the EV industries of Japan, Korea and Taiwan as prospective
investors or JV partners in EV R&D, manufacturing, assembly and as
suppliers of critical EV components. “The DTO genuinely supports the use and
development of economically-viable EV and transport landscape that is in
harmony with the environment. To be more specific, DTI will help our local EV
players meet international business partners who can help local industry meet
its strategic requirements on technology, capital and later on, the development
of EV-related products for domestic and export markets”.
Incentives needed
John Lee, VP of PhUV Inc., the local manufacturer and
assembler of the eJeepneys, cited the need for government support in the form
of fiscal and non-fiscal incentives for both manufacturers and end users. “With
this incentive, prices of EVs will go down by about 30%. On top of these, we
will see more investments not only in local electric vehicle and parts
manufacturing but also in the much-needed infrastructure. House Bill 5460 has
already been passed in Congress and we hope that the counterpart bill in the
Senate sponsored by Sen. Ralph Recto can be passed as well before the end of
the legislative calendar this June 2012”.
Lee was referring to Senate Bill 2856, otherwise known as
the Alternative Fuel Vehicle Incentive Act. It provides for fiscal incentives
such as exemption from duties, excise tax and VAT for nine years and from the
motor vehicle user’s charge upon vehicle registration. Non-fiscal incentives
include priority in LTO vehicle registration and LTFRB franchise applications,
exemption from the number coding scheme and provision for free parking spaces
in new establishments, among others.
EV promotions in the region
JUAN notes that EVAP is honored to have been chosen by the
Japan-based Association for the Promotion of Electric Vehicles to be its
partner in the EV promotion and development in the region. “This is an
excellent opportunity for us to really work together to bring the EV industry
to greater heights. I therefore call on all EV stakeholders in the country and
on the government to provide the needed impetus for us to together bring the EV
industry in the region to the next level. Only then can we be true to our theme
of this summit which is to mobilize the region in EV promotion and development,”
he concludes.