The Department of Energy (DOE) is eyeing the issuance of a Presidential mandate that will expand the coverage of zero tariff incentive for electric vehicles (EVs) - primarily for hybrids, as well as the two-wheeler and three-wheeler fleets.

Energy Undersecretary Felix William Fuentebella told reporters that the broader scope of that investment incentive had already been lodged with the Tariff Commission and will be formally discussed at the technical committee level by next month.

“In February, we will discuss this with the Tariff Commission and the Energy Utilization Management Bureau (of the DOE) – and we are working with the DTI (Department of Trade and Industry) family on coming up with cost benefit analysis,” the energy official said.

Specifically, a five-year zero tariff perk for EVs - as prescribed under Executive Order 12 issued by President Marcos last year - only covered completely built-up four-wheeler units; hence, a policy modification is now being pushed so this could help accelerate the country’s electric mobility goals.

Fuentebella further conveyed that the recommendation for expanded tariff coverage had already been raised to the level of the concerned Cabinet members.

“We have already flagged this before the Secretaries – that we really have to extend the incentives to include hybrid, two-wheel and three-wheel electric vehicles,” he stressed.

Fuentebella indicated there is a technical working group initially working on presentations – including the outcome of the ongoing cost benefit analysis; then the final recommendation will be elevated to the Tariff Commission and it will be at that level that President Marcos will be deciding on the fate of that policy recommendation.

Within the duration of the Marcos administration or until 2028, the DOE has been casting EV rollout ramp up to 2.45 million - and that shall be underpinned with 65,000 EV charging stations.

Essentially, that will accelerate targets on EV adoption to 10% from the originally-prescribed aspiration of 5.0% EV deployment within the 2023-2028 timeframe – and as perceived by the energy department, it could be the two-wheelers and three-wheelers reigning in the country’s e-mobility journey.

In the updating of the Philippine Energy Plan (PEP), the DOE integrates various prospective EV fleets – including cars, tricycles, motorcycles as well as buses – to account for the entire network of the country’s goal of having an electrified transport system.

Onward, the grand plan is to have additional 1.85 million EVs and 42,000 charging facilities within 2029-2034 span; and to beef that up by another 2.0 million EVs with additional 40,000 chargers within the 2034-2040 stretch.