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Manila Bulletin devider Philippines devider National devider E-mobility advocate seeks review of 2-wheeled EV's inclusion in tax breaks 

E-mobility advocate seeks review of 2-wheeled EV's inclusion in tax breaks 

Published Feb 23, 2023 04:01 pm

An e-mobility advocate believes that electric motorcycles should be given tax breaks like other types of electric vehicles.

(MB file photo)

Electric Kick Scooter of the Philippines (EKS PH) Chairman, Tim Vargas made the statement following the exclusion of electric motorcycles in Executive Order (EO) 12 which temporarily modifies the tariff rate for electric vehicles and components.

He stated that this should be clarified further and revisited by the executive committee.

Only kick scooters, self-balancing cycles, bicycles, and pocket motorcycles with auxiliary motors not exceeding 250w and with a maximum speed of 25 km/hr have zero percent import duties while electric motorcycles are still subject to a 30 percent tariff rate.

Upon signing the EO, the tariff ranging from five to 30 percent will be temporarily modified to zero percent for the next 5 years to help the country adapt to e-vehicle usage and reduce carbon emissions.

He also noted that two-wheeled motorcycles are the primary choice of transport for residents of Metro Manila which should be given priority for incentives.

Vargas also believes that the large usage of two-wheeled motorcycles along with the e-vehicle industry can also help improve the country's employment rate.

“I’m pretty sure that it’s gonna create a different market,” he said.

In relation to this, the Department of Science and Technology (DOST) as part of its pronouncement to continuously prioritize an ecosystem of e-mobility solutions for the country's transportation sector has already made a P312 million investment.

Dr. Enrico Paringit, Executive Director of DOST's Philippine Council for Industry, Energy, and Emerging Technology Research and Development (DOST-PCIEERD) has already urged the public to support efforts to boost financing for e-mobility research and development and use and adoption of research-based technologies in the transportation industry and stressed the lower value of e-mobility, which costs 40 percent less than gasoline.

According to Paringit, e-mobility solutions are less expensive to maintain since the battery has fewer moving parts than a traditional automobile, making maintenance easier, less frequent, and more economical overall.

Related Tags

electric vehicle Electric vehicles Department of Science and Technology E-mobility Department of Science and Technology (DOST)
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