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Manila Bulletin devider Philippines devider Mindanao devider Davao City Council OKs electric vehicle incentive ordinance

Davao City Council OKs electric vehicle incentive ordinance

Published May 13, 2026 09:32 pm
OCAMPO (FB)
OCAMPO (FB)
DAVAO CITY – The Davao City Council approved on Tuesday, May 12, the ordinance establishing a comprehensive incentives framework for the electric vehicle (EV) sector, marking a major local push toward sustainable transport development in the city.
The measure provides fiscal and regulatory incentives to EV manufacturers, dealers, users, public transport operators, charging station developers, spare parts suppliers, and facilities involved in battery recycling and environmentally safe disposal.
Authored by Councilor Temujin Ocampo, chairman of the Committee on Environment and Natural Resources, the ordinance aligns local policies with Republic Act No. 11697 or the Electric Vehicle Industry Development Act (EVIDA), as well as the city’s existing Local Incentive Code.
Under the ordinance, Ocampo said qualified enterprises may be granted incentives, including tax holidays of up to six years, subject to compliance with the ordinance’s requirements and investment thresholds.
The measure introduced streamlined processing procedures for EV-related businesses under an “ease of doing business” approach.
While certain non-regulatory fees, such as mayor’s permit charges, may be waived, companies will still be required to settle regulatory fees, including building permits and waste management charges.
For EV users, the ordinance grants free parking in designated city-managed areas, including sites on San Pedro and C.M. Recto Streets, for up to three hours.
Ocampo said the time limit was set to prevent misuse of parking spaces while still encouraging EV adoption.
Although the ordinance cannot compel private establishments, the city government encouraged malls and other commercial operators to adopt similar incentives for EV users.
On infrastructure readiness, the council reported consultations with Davao Light and Power Co., which assured sufficient electricity supply to support the expected expansion of charging stations and related facilities.
Industry interest has been noted, with companies such as BYD and VinFast reportedly exploring investment opportunities in Davao City’s EV infrastructure, including installing hundreds of charging stations.
The ordinance set specific eligibility requirements for businesses seeking incentives.
Domestic-oriented manufacturers must have at least P100 million in capital, employ a minimum of 20 workers, and be registered with the Board of Investments or Philippine Economic Zone Authority.
Export-oriented manufacturers must have at least P200 million in paid-up capital, at least 25 employees, BOI or PEZA registration, and export at least 60 percent of their production.
Distributors and dealers must invest at least P10 million and employ at least five workers, with at least 70 percent of the employees residing in Davao City.
Charging station operators and enterprises involved in EV battery recycling or e-waste processing must invest at least P2 million or operate at least two charging stations, whichever is higher.
City officials said all investment proposals will undergo evaluation by the appropriate investment review body before qualification for incentives.

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Davao City Electric vehicle Councilor Temujin Ocampo
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