Executive Order No. 12 series of 2023, which aims to lower the tariff rates for electric vehicles and their components to help mainstream EV usage in the country and help reduce carbon emissions, was initially praised for promoting sustainable environment, but different stakeholders have also expressed dismay, saying the EO does not cover electric motorcycles and other two-wheeled EVs.
Among the critics of EO12, which aims to complement Republic Act No. 11697, or the law Providing for the Development of the Electric Vehicle Industry in the country, is Stratbase ADR Institute President Victor Andres Manhit, who has pushed for inclusivity in the tax relief and has urged the EO’s revision.
Motorcycles are used by majority of motorists in the country, with the Land Transportation Office recording around 8 million registered motorcycles. However, e-motorcycles and other two-wheeled electric vehicles are still subject to a 30 percent import duty.
Chemist and university professor Abigail Arillaga says it will be harder to shift to EVs unless the government rolls out monetary incentives for it use, along with an awareness campaign of its benefits and comprehensive research on its effectiveness.
Different groups have been pushing for the shift to EVs to help reduce carbon emissions in the country as transport is the main source of air pollution and other issues related to global warming. The transportation sector alone is responsible for emitting 31.54 million tons of carbon dioxide, which contributes greatly to climate change.
The Philippines aims to go full electric vehicles by 2040. It is set to limit the sale of internal combustion engine powered cars as part of its comprehensive plan to transition to a decarbonized road network.
This goal will be more easily achieved if government makes owning an EV more accessible for all Filipinos, not just the rich or businesses who the only ones currently enjoying the tax incentives that make such vehicles more affordable.*
