EV subsidy pilot program set in Q3 next year
MANILA -The Department of Trade and Industry is looking to begin by the third quarter next year the pilot phase of the subsidy program for buyers of electric vehicles (EV)—part of the government’s efforts to promote environment-friendly transportation.
“This is actually going to be funded by the [United Nations Industrial Development Organization] and the [Global Environment Facility] through a project we have with them,” Trade Undersecretary Rafaelita Aldaba said in a message sent to the Inquirer on Tuesday.
“We’re just waiting for the finalization of all [documents] and then the release of funds and the organization of the team, perhaps by around the third quarter of next year. But hopefully it could be expedited,” she added.
Asked how the subsidies would be distributed to EV buyers, the trade official said that they were planning to use discount vouchers.
Last Oct. 20, the trade official unveiled the Electric Vehicle Incentives Scheme to further promote the EV industry.
According to the state-owned Philippine News Agency, Aldaba said the government is looking to provide subsidies of P500,000 per unit for EVs in the public utility vehicle sector, P20,000 per unit for three-wheelers and P10,000 per unit for e-bikes.
READ: Gov’t subsidies for buyers of e-vehicles sought
To date, there are more than 16,000 EV units in the Philippines, according to statistics from the Electric Vehicle Association of the Philippines (Evap).
Sales of EVs in the Philippine market grew by nearly six times during the first quarter of 2023 compared with last year, according to Evap, with 2,536 EV units sold during the period.
READ: Advocacy group wants review of tax breaks for e-vehicles
This first-quarter posting showed a 495.3-percent growth compared with just 426 EV units sold for the whole of 2022.
According to Evap, the number of EVs in the Philippines is projected to grow to as much as 6.61 million units by 2030, majority of which will be two-wheeled vehicles such as e-motorcycles.
