The passage of Republic Act 11697 or the Electric Vehicle Industry Development Act (EVIDA) puts the Philippines in a good position for high-technology investments, the Department of Trade and Industry (DTI) said.
“With EVIDA, the Philippines is now in a stronger position to further attract hi-tech investments and create high-value jobs in the country by taking advantage of the ongoing global shift to EVs through strong national policy support,” Trade Sec. Ramon Lopez said in a statement
The EVIDA, which was lapsed into law last April, aims to promote the electric vehicle (EV) industry as a “feasible mode of transportation to reduce dependence on fossil fuels.”
The DTI said that the passage of EVIDA is a move where the transport sector can slowly reduce its dependence on oil, especially amid rising fuel prices, by promoting clean energy innovations and sustainable transport.
Aside from developing a sunrise industry and generating more employment, the EVIDA sets clear policy directions for the government to raise EV awareness, streamline regulations, boost local demand to attract EV production, and build a robust EV charging infrastructure.
The new law also mandates the crafting of a Comprehensive Roadmap for the Electric Vehicle Industry (CREVI), a national development plan for the EV industry to accelerate the development, commercialization, and utilization of EVs.
EVIDA also mandates the Board of Investments to devise an Electric Vehicle Incentive Strategy (EVIS) similar to the Comprehensive Automotive Resurgence Strategy Program (CARS), which the DTI earlier said would provide Php27 billion in incentives.
Trade Usec. Rafaeilta Albada said that the EVIDA is important for the country to attract manufacturing investments amid the rising competition for EVs in the ASEAN (Association of Southeast Asian Nations) region.
“The EVIS will allow the government to provide competitive and industry-specific fiscal and non-fiscal support to attract private sector investments in strategic EV segments, especially manufacturing, which is a crucial step in deepening our participation in the regional automotive value chain,” Aldaba said.