Here is EVAP's Stand on on the Possible Cancellation of the DOE's Electric Trike Program

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November 30, 2016

The Department of Energy recently announced that it would undertake an Electric Trike (ETrike) program that would be funded by the Asian Development Bank (ADB). With tricycles being a primary mode of transport in various parts of the country, the move made perfect sense. Not only would this rid our streets of noisy trikes but it would likewise make for a more environment-friendly solution.

But alas, it seems that the proposal is just that. Reports have it that there is a move to scrap the program altogether. In light of this, the Electric Vehicle Association of the Philippines (EVAP), the official organization comprised of some 50 distributors, manufacturers, motorists, and suppliers of electric vehicles (EVs) in the country, has come up with a stand regarding the matter.

This is what they have to say:

OFFICIAL STATEMENT ON THE DOE ETRIKE PROGRAM CANCELLATION

It has come to our attention that the Electric Tricycle Program of the Department of Energy will be discontinued. If so, we the officers and members of the Electric Vehicle Association of the Philippines would like to state our position on this matter, which is that this ETrike Program be continued for other electric vehicle projects as a Green Financing Program that could be administered by other government agencies such as the Department of Transportation or the Department of Interior and Local Government using government financial institutions as loan conduits.

The Electric Vehicle Association of the Philippines is the official organization of some 50 institutions in the domestic EV industry comprising of assemblers, manufacturers, importers, distributors, suppliers and enthusiasts. We have been in full support of the DOE ETrike Program ever since the start when the Asian Development Bank was just in the process of securing funding for it. We were full of optimism since in the absence of fiscal and non-fiscal incentives through an Alternative Fuel Vehicles Incentive Law, we saw it as the much-needed shot in the arm that our sunrise industry needed.

We came to its rescue with a Letter of Support when the funding that ADB was raising for it came into question. When the funding issue was resolved and the Program was finally launched, EVAP members joined the bidding and we have been in consultation with DOE ever since.

During the first bidding and the second bidding, EVAP was also there. We were very glad when EVAP member Bemac finally won the initial bid for 3,000 units.

We at EVAP have worked very hard for this ETrike Program for so many years and we sincerely wish that the program will be continued, even with an adjusted Terms of Reference to make it more acceptable to the target beneficiaries.

The DOE ETrike Program put the Philippines in the EV map, as international manufacturers and suppliers finally took us seriously. They came in droves in the various Philippine EV Summits that we conducted, with some of them even forging partnerships and joint ventures with our members. It was thus starting to attract various foreign investments into the country, with some of them already in place.

There are so many proofs of concept now that show Electric Vehicles actually work in the Philippine scenario. There are EJeepneys running in Makati, Muntinlupa, Filinvest City and Ateneo de Manila, to name a few. There are already successful ETrike deployments in the cities of Mandaluyong, Bacoor (Cavite), Naga and Boracay.

All of these simply prove that Electric Vehicles already work, can be mass-produced locally by local technicians, engineered by Filipino engineers and are therefore already available locally in commercial volumes.

We, as an organization and as industry players, wish to give our suggestions to the DOE in the hope of making the program more successful. We believe that the $500 million fund by the ADB may still be used in other EV-related projects not necessarily requiring a formal bidding.

We do not wish for this fund to be wasted and simply be returned to ADB. There are plenty of opportunities in the country for EVs, may it be three-wheeled ETrikes or even four-wheeled EJeepneys. This much-needed fund could help jump-start and catalyze our domestic EV industry which is just starting to take off.

We implore the government to please help us sustain the momentum of the initial success of EVs in the country and help make the Philippines the EV hub of Asia. With government support, we can do it. Just please continue the DOE ETrike Program with a revised Terms of Reference. A Green Financing Program could be devised using government financial institutions as loan conduits, thus providing operating funds financing for manufacturers and retail financing for customers. This could be administered by either the DOTr or the DILG whose functions are more attuned to the conditions under which the ETrike Program will be implemented.

This will not only help preserve our environment but generate new job opportunities, bring in foreign investors, reduce our dependence on fossil fuel importations thus saving us precious dollars and generate additional taxes for the government as well.

We have a sunrise industry in our hands. It needs the caring and nurturing arms of government. We hope it listens to our plight.

Rommel T. Juan

President, EVAP

About the Author

Mr. Gerard Jude Castillo
Gerard has been a self-confessed car nut ever since he was a little boy. As a grown-up, he indulges in his passion by collecting toy cars (which he started since childhood) and reading up on the latest cars out there.  As Associate Editor, he will ensure that you get your fill of the latest cars in the market, as well as a load of automotive features.