THE Department of Trade and Industry (DTI) said it will be transmitting the newly approved incentive program for electric vehicles (EVs) to the Fiscal Incentives Review Board (FIRB) on Friday.
“I approved on Wednesday the Board of Investments’ (BoI) draft Electric Vehicle Incentive Strategy (EVIS),” Trade Secretary Ma. Cristina A. Roque told reporters.
“On Friday, we will formally transmit the EVIS to the FIRB for approval. We will coordinate with FIRB for its inclusion in the next meeting, most likely in July,” she added.
She said the incentive scheme aims to attract the manufacture and assembly of EVs, particularly electric two-wheelers, trikes, public utility vehicles, and buses.
“It will be rolled out soon. It is similar to the programs that we have. It is to encourage people to really shift to EVs,” she said.
She added that the program will help the government hit its target of increasing the number of EVs on the road to 2.4 million by 2028 and to achieve a 50% EV adoption rate by 2040.
Under the Electric Vehicle Industry Development Act (EVIDA), the DTI is tasked with promoting the domestic manufacturing of EVs.
The law also requires the department to develop, through the BoI, an EV incentive strategy similar to the Comprehensive Automotive Resurgence Strategy Program.
“The DTI, through the BoI, shall recommend an EV incentive strategy to the FIRB for approval as part of the manufacturing component of the Comprehensive Roadmap for Electric Vehicle Industry,” according to the law.
According to EVIDA, the incentive strategy should narrow the cost gap between the EVs and traditional motor vehicles, provide time-bound, targeted, performance-based fiscal and non-fiscal support to attract EV and EV parts manufacturing, and set local production targets. — Justine Irish D. Tabile