Electric vehicles now exempted from coding


EDITORS DESK

Iñigo S. Roces

Easily the bane of many motorists in Metro Manila is the number coding scheme that prohibits vehicles from using the roads during peak hours based on the last digit of their plate number. This vehicle reduction program was implemented in the hopes of reducing traffic on our already congested roads. This means that those residing within the city or going to any destination inside coding zones have to consider what day of the week it is and whether their car is allowed.

It has led to the rise of such unique phenomenon as the “coding car” purchase, where wealthy buyers acquire a second vehicle simply to be used during the days that their first car is prohibited. Unfortunately, it does little to curb the congestion, and only contributes to more carbon emissions.

As the effects of global warming are becoming more apparent, perhaps this new measure may actually convince motorists to be more mindful of their carbon emissions. To help hasten the adoption of electric vehicles (which have zero emissions), the Electric Vehicle Industry Development Act (EVIDA) law has been passed. This law provides for certain tax exemptions and several non-fiscal incentives for distributors and buyers of these cars. This makes these vehicles exempt from certain import and excise taxes, lowering their price to make them more appealing to the buying public.

No emissions, no coding

For the buyers, they can enjoy some of the non-fiscal incentives, which includes this latest development: coding exemption.

This means, if you’re one of the lucky few who has purchased a Tesla, BYD, BMW iX, Nissan LEAF, Jaguar i-Pace, Porsche Taycan, Renault Twizy, Audi E-tron, or Mercedes-Benz EQS and the like, you are free to roam the city even on your coding days.

According to the recently released implementing rules and regulations (IRR) for the EVIDA law, electric vehicles are officially exempt from coding. In response, the MMDA has recently circulated a memo to its traffic enforcers instructing them not to apprehend any fully electric vehicles during their coding days.

This is just the first step of many more non-fiscal incentives planned for buyers of electric vehicles. In the future, they can also expect to receive special plate numbers to distinguish them from normal vehicles, priority registration and renewal, as well as priority parking in EV spaces with chargers provided by establishments like malls.

Are hybrids included?

This is one aspect that may need some clarification. The IRR states that battery electric vehicles (fully electric), hybrid vehicles, and plug-in hybrid electric vehicles are included under the definition of “electric vehicles.” Which should therefore mean they are exempted as well.

Of course, because the latter two still have combustion engines, there may be some argument or explanation needed with the apprehending officer should you ever be pulled over. Perhaps the safest course of action is to wait for a list of exempted vehicles released by the government. For now, it will be a short one, but with many more brands already planning to offer one by next year, you can expect that list to grow.

Hastening the transition

It's certainly an encouraging sign from the government. After all, if coding was reason enough for some of the more wealthy buyers to acquire a second coding car, shouldn’t complete exemption be even more encouragement to get an electric vehicle?

Even range anxiety is beginning to be addressed as major developers like SM, Ayala, and Robinsons have now launched EV spaces with fast chargers in their top commercial establishments.

Perhaps the only question left to ask is, how long will this exemption last? At some point, nearly all the vehicles on the road will be electric.