Clean air advocates, e-vehicle proponents urge EO 12 review for ‘green traffic’
Manila — Clean air advocates and e-vehicle industry stakeholders are pressing NEDA Chief Arsenio Balisacan to expedite the review of Executive Order No. 12, aiming to accelerate the shift to electric vehicles and combat carbon emissions.
EO 12, enacted on January 19, 2023, and effective from February 20, 2023, temporarily modifies import duty rates on EVs and components. However, criticism arose for excluding e-motorcycles from tax breaks.
Section 2 mandates a review one year after implementation, with NEDA submitting findings and recommendations to the President. With the review beginning on February 21, 2024, the focus is on transitioning from gas-fueled vehicles to environmentally friendly transport, dubbed “green traffic.”
According to Electric Kick Scooter (EKS) Philippines co-founder and Chairman Tim Vargas, “it is high time that e-motorcycles receive tax breaks, as it is a privilege that was initially deprived of them.”
Vargas was referring to EO 12 series of 2023, which modifies the tariff rates for certain types of EVs and their parts and components to mainstream EV usage in the country and help cut down on carbon emissions.
“It’s important to give them what’s due them. We’re looking forward and we also laud the humility of the NEDA, [Albay] Rep. [Joey] Salceda, and some people in the executive branch that they saw that this review is an opportunity to improve what has been delivered before,” Vargas said in an interview.
“But hopefully, moving forward, we need to have more stakeholder engagement and try to understand further rather than making this impulsive decision on just hastily passing things rather than being more constructive,” he added.
Except for e-motorcycles, which are still subject to 30 percent tariff rates, EO1 2 temporarily lowered the tariff rates for numerous types of EVs from five to thirty percent to assist the nation in adjusting to the use of EVs and reducing carbon emissions.
The executive issuance was enacted to help complement the Electric Vehicle Industry Development Act (EVIDA), to help Filipinos adapt faster to green technologies, and to help the country with its commitment to the Paris Agreement to shift to green transport.
Atty. Vin Ching, a mobility advocate, stressed the importance of making EVs accessible to the working class and urged inclusive revisions to EO12.
NEDA confirms the review’s commencement on February 21, 2024, with discussions expected to prioritize e-motorcycles’ tax breaks.
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