DOE: E-vehicles to make up 10% of registrations by 2040

by Danessa Rivera (The Philippine Star), 10 Jul 2021

MANILA, Philippines — The Department of Energy sees electric vehicles (EVs) accounting for 10 percent of the total registered vehicles in the country by 2040.

Under the agency’s Philippine Energy Plan 2018-2040, EVs are expected to account for 10 percent the total road transport vehicles.

DOE-Energy Utilization Management Bureau (EUMB) director Patrick Aquino said this would generate five percent aggregate savings from oil and electricity throughout the period.

“In terms of timeline, were looking at the very least, by 2040, we’ll be at 10 percent. By 2030-2035, the internal combustion engine (ICE) production will cease. The Philippines will have no other recourse, we don’t want to be the last bastion for ICE,” Aquino said during the ASEAN Electric Vehicle Outlook summit.

“The government is very much committed to make EV mainstream now than later,” he pointed out.

The DOE official said the country’s transport sector has been slow in transitioning from the usage of ICE vehicles to EVs from 2010 to 2019.

He said there were only 11,950 EVs registered by 2019, accounting for only 0.9 percent of the total registered vehicles in the country.

Of the total registered EVs, majority are electric tricycles (e-trikes) followed by electric buses and electric cars.

Among the challenges seen in raising usage of EVS include the initial high cost, inadequate support for EVs, limited number of investors in EV charging stations (EVCS), and battery disposal, Aquino said.

“The transition has already begun whether the Philippines likes it or not. The question for government now is to ensure enabling structures to bring in investments, competencies, people for the perfect recipe of scaling up EV. Hopefully with the passage of the EV bill, we will see that,” he said.

To help in the transition, Aquino said the DOE would be issuing a department circular on EVCS, which will cover activities related to the development, establishment, use, supply, distribution and the operation of EVCS.

Last March, the DOE sought comments from industry stakeholders on the proposed guidelines for the development, establishment, and operation of EVCS in the Philippines.

The draft policy will consolidate and harmonize all existing issuances related to EVCs to ensure safe, efficient operations and system reliability, and to accelerate investments in the country.

In the same event, Shell Mobility East Strategic Growth and E-Mobility head Tracy Xie said the Philippines is still in the early stages of EV adoption so a flexible pilot approach is necessary to ramp up EV usage.

“It is best to start with a flexible pilot approach instead of mandatory investment requirement to help the industry prepare and develop a sustainable business model,” she said.

While the country is facing low demand in EVs, Unioil Petroleum Philippines Inc. vice president Noel Soriano said the company sees EV adoption increasing in the next 10 to 15 years with government support.

In the Senate, a bill known as the Electric Vehicles and Charging Stations Act or Senate Bill No. 1382 aims to address concerns on costs and lack of infrastructure for EVs.

Under Senate Bill 1382, gasoline stations nationwide will be required to install charging stations. All new public and private buildings will also be required to designate dedicated parking slots for the exclusive use of EVs and mandatory open access installation of charging stations in these parking spaces.