In a move to further promote the adoption of electric vehicles (EVs) in the Philippines, the National Economic and Development Authority (NEDA) has announced that it will be conducting public hearings to review the tariff rates for EVs. The review process will focus on Executive Order No. 12, a circular that modifies the tariff rates for EVs.
NEDA Secretary Arsenio Balisacan emphasized the importance of considering the views of industry stakeholders during the public hearings. This inclusive approach ensures that all relevant perspectives are taken into account before any decisions are made.
The Tariff Commission, an agency under the NEDA, has been assigned the task of conducting open discussions with stakeholders and environmentalists who have been advocating for certain amendments to EO 12. This collaborative effort aims to address the concerns and recommendations put forward by various groups.
According to Balisacan, the review process will adhere to the tariff modification process outlined in Section 1608 of the Customs Modernization and Tariff Act. The findings and recommendations from the review will be presented to the Committee on Tariff and Related Matters and the NEDA Board for further consideration.
Section 1608 of the Tariff and Customs Code of the Philippines, also known as the Flexible Clause, requires the Tariff Commission to conduct an investigation and hold public hearings before submitting any recommendations to the President. This ensures that interested parties have the opportunity to voice their opinions and concerns.
While the review process is underway, EV industry players have expressed their desire for clarity regarding the investigation and public hearing procedures. They are eagerly awaiting further details to actively participate in the review and contribute to the discussions.
One key aspect that stakeholders have been advocating for is the inclusion of electric motorcycles in the tax incentives provided by EO 12. They argue that electric motorcycles have the potential to make a significant contribution to the government’s goal of transitioning to a fully electric transportation system by 2040, as outlined by the Department of Trade and Industry.
With the review process now in sight, there is optimism that the list of EVs with reduced import duties will expand to include e-motorcycles and hybrid vehicles. This expansion would not only incentivize the adoption of electric motorcycles but also contribute to a more sustainable and eco-friendly transportation sector.
According to the Statista Research Department, there were approximately 7.81 million registered private motorcycles and tricycles in the Philippines in 2022. This significant number highlights the importance of considering the impact of electric motorcycles on the country’s roads and the potential for a greener future.
The upcoming public hearings provide a platform for industry stakeholders, environmentalists, and other interested parties to voice their opinions and contribute to the review process. Through this inclusive and transparent approach, the Philippines aims to create a comprehensive framework that supports the growth of the EV industry and aligns with its sustainability goals.
As the review process progresses, it is crucial for all stakeholders to actively engage in the discussions and provide valuable insights to shape the future of the EV sector in the Philippines. The public hearings offer a unique opportunity to influence policy decisions and drive positive change in the country’s transportation landscape.
Source: The Manila Times
