THE Asian Development Bank (ADB) has committed to fund the Philippines’ long-term project to develop electric vehicles in the country.
During the lender’s Energy Efficient Electricity Vehicles Forum, Sohail Hasnie, ADB principal energy specialist, said they are in discussions with the Department of Energy (DOE) on how to finance the government’s e-vehicles program.
“We are discussing the details. It could be in the range of $400 million to $500 million for 100,000 tricycles. This could be a long-term project,” he said.
The ADB eyes to raise the amount through various means including “concessional financing” with local banks.
Hosnie said they already approached some local lenders with regard to this but stopped short of identifying them.
The DOE is pushing for the development of e-vehicles to reduce the country’s reliance on fuel imports and at the same time bring down greenhouse gas emissions.
Drivers and operators of e-vehicles stand to benefit from savings they will derive from cutting their fuel expenditures.
“The government hopes to reduce the number of gasoline and diesel-fed transport vehicles in the country by 30 percent by 2020 and eventually reduce the carbon footprint of road transport in the Philippines,” the DOE earlier said.
To help jumpstart its e-vehicles program, the DOE had teamed up with the ADB to turn over 20 e-tricycles to the local government of Mandaluyong and formulate a program on developing similar vehicles across the country.
DOE plans to introduce e-tricycles, e-jeepneys, e-buses and e-cars with the help of local entrepreneurs and technical experts.