The use of electric vehicles (EVs) in the Philippines has experienced a significant surge, according to the Electric Vehicle Association of the Philippines (EVAP). In the first quarter of 2023, EV sales saw a remarkable six-fold increase compared to the figures from the previous year.
From January to March in 2022, a total of 2,536 EVs were sold, marking a staggering 495% growth compared to the 426 electric vehicles sold throughout the entirety of 2022. This surge in sales can be attributed to the implementation of Executive Order No. 12, which modified the tariff rates for specific types of EVs and their components, reducing them to zero.
Executive Order No. 12 was enacted to complement the Electric Vehicle Industry Development Act (EVIDA) and foster the growth of the EV industry in the Philippines. By reducing carbon emissions, the country aims to align with its commitment to the Paris Agreement. These policy changes have created a favorable environment for the adoption of EVs, leading to a rapid increase in sales.
EVAP projects a remarkable milestone of 6.6 million EV sales in the country by 2030. This ambitious target reflects the growing interest and demand for cleaner and more sustainable transportation options among Filipinos. As the benefits of EVs become more widely recognized, consumers are increasingly opting for electric vehicles as a viable alternative to traditional gasoline-powered cars.
However, it is important to note that e-motorcycles were not included in the list of EVs granted tax breaks under Executive Order No. 12, which has raised concerns among certain stakeholders. These stakeholders argue that including two-wheeled EVs in the tax incentives would accelerate the country’s transition to EVs and further promote sustainable mobility.
To gain a deeper understanding of the impact of EVs in the Philippines, a study conducted by global research and consulting firm Frost & Sullivan highlighted the potential benefits of widespread EV adoption. The study emphasized the positive effects on air quality, reduced dependence on fossil fuels, and the creation of new job opportunities within the EV industry.
Moreover, the study highlighted the importance of developing a robust charging infrastructure to support the growing number of EVs on the roads. This infrastructure should include a network of charging stations strategically located across the country, ensuring convenient access for EV owners and eliminating range anxiety.
In conclusion, the Philippines has witnessed a remarkable increase in the adoption of electric vehicles, with sales soaring in the first quarter of 2023. The implementation of favorable policies, such as Executive Order No. 12, has played a crucial role in driving this growth. As the country strives to meet its commitments to the Paris Agreement and reduce carbon emissions, the transition to EVs presents a promising solution. With projections of 6.6 million EV sales by 2030, the Philippines is poised to become a major player in the global EV market. However, it is crucial for policymakers to consider the inclusion of e-motorcycles in tax incentives to further accelerate the transition and ensure a sustainable future for transportation in the country.
Source: The Manila Times