Electric Vehicle Industry Development Act

Case Overview and Summary

Summary of the Electric Vehicle Industry Development Act

Declaration of Policy (Section 2)
- Ensure energy security and reduce reliance on imported fuel for transportation
- Provide an enabling environment for electric vehicle (EV) development
- Promote clean and sustainable energy technologies
- Protect health and environment from pollution
- Safeguard power grid stability
- Promote sustainable industrialization and job creation
- Protect cultural heritage through the transportation system
- Recognize role of local government units (LGUs) in the transition

Scope and Application (Section 3)
- Covers manufacture, assembly, importation, construction, installation, maintenance, trade, utilization, research and development, and regulation of:
    - Electric vehicles
    - Charging stations and related equipment
    - Parts and components
    - Batteries
    - Related support infrastructure

Definitions (Section 4)
- Defines key terms such as battery electric vehicle, charging station, charging fee, distribution utility, electric vehicle, green routes, hybrid-electric vehicle, importer, manufacturer/assembler, micromobility, own-use charging stations, plug-in hybrid-electric vehicle, private/public buildings and establishments, self-generating charging stations

Role of Government Agencies (Sections 7-15)
- Department of Energy (DOE):
    - Primary agency for EV and charging station promotion (Section 7)
    - Promulgate rules, regulations, and standards for charging stations
    - Develop and update the Comprehensive Roadmap for the Electric Vehicle Industry (CREVI)
    - Accredit charging station service providers
    - Enforce compliance with charging station installation and operation
- Energy Regulatory Commission (ERC):
    - Regulate rates charged by distribution utilities on charging stations (Section 8)
    - Promulgate rules for self-generating charging stations and vehicle-to-grid facilities
- Department of Transportation (DOTr):
    - Primary agency for EV demand generation and regulation (Section 9)
    - Promulgate policies and rules on EV use, operations, inspection, and registration
    - Ensure CREVI is part of the sustainable transportation plan
    - Preserve artistic design of traditional jeepneys for electric public utility vehicles (PUVs)
    - Mandate inclusion of green routes in route plans
    - Incorporate EVs in the PUV Modernization Program
- Department of Trade and Industry (DTI):
    - Primary agency for local EV manufacturing promotion (Section 10)
    - Formulate standards for EV industry
    - Develop manufacturing and human resource components of CREVI
    - Develop EV incentive strategy
- Local Government Units (LGUs):
    - Include green routes in local transport plans (Section 11)
    - Issue permits for charging station installation
    - Provide segregated lanes for light electric vehicles
    - Ensure compliance with charging station requirements in buildings
- Other agencies' roles defined: Department of Public Works and Highways, Department of Science and Technology, Department of Environment and Natural Resources, National Economic and Development Authority

Demand Generation and Industry Development (Sections 16-23)
- Mandatory EV share in corporate and government fleets (minimum 5% within timeframe in CREVI) (Section 16)
- Dedicated parking slots for EVs in new buildings (minimum 5% if 20+ parking slots) (Section 17)
- Installation of charging stations in dedicated parking slots (Section 18)
- Installation of charging stations in select gasoline stations (Section 19)
- Regulations on use of charging stations and charging fees (Section 20)
- Streamlined permitting process (Section 21)
- Duties and responsibilities of charging station owners/operators and distribution utilities (Sections 22-23)

Incentives (Sections 24-26)
- Fiscal incentives:
    - Manufacturing: Inclusion in investment priority plan for incentives under laws like Corporate Recovery and Tax Incentives for Enterprises Act (Section 24a)
    - Importation: Exemptions for completely built EV units, charging stations, and capital equipment (Section 24b)
    - Utilization: Discounts on motor vehicle user's charge, registration, and inspection fees for 8 years (Section 24c)
- Non-fiscal incentives for 8 years:
    - Priority registration, exemption from number coding, expedited franchising for PUV operators, training programs (Section 25a)
    - Expedited customs processing for parts importation (Section 25b)
    - Employment of foreign experts for technology transfer (Section 25c)
- Financial assistance from government and private institutions (Section 26)

Other Provisions
- Establishment of dedicated offices in DOE, DOTr, and DTI (Section 27)
- Penalties for violations (fines from ₱50,000 to ₱500,000) (Section 28)
- Congressional oversight by Joint Congressional Energy Commission (Section 29)
- Implementing rules and regulations to be issued within 120 days (Section 30)
- Separability clause (Section 31)
- Repealing clause (Section 32)
- Effectivity 15 days after publication in Official Gazette or newspaper (Section 33)