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20 Nar-2 P3 15
20 Nar-2 P3 15
AN ACT
PROVIDING THE NATIONAL ENERGY POLICY AND REGULATORY
FRAMEWORK FOR THE USE OF ELECTRIC VEHICLES AND THE
ESTABLISHMENT OF ELECTRIC CHARGING STATIONS
CHAPTER I
GENERAL PROVISIONS
3
4 Sec. 2. Declaration o f Policy. - I t is hereby declared the policy o f the State to:
5 (a) Ensure the country's energy security and independence by reducing reliance
7 (b) Promote and support innovation in clean, sustainable, and efficient energy to
8 accelerate social progress and human developm ent by encouraging public and
10 (c) Safeguard and im prove the integrity, reliability, and stability o f the country's
11 electric power grid by optim izing the location o f energy sources relative to
12 demand; and
1 (d) Promote inclusive and sustainable industrialization w hile recognizing the role
3 generate jobs, spur small and medium enterprise grow th, a ttra ct investments,
4 grow globally com petitive and innovative industries, and upgrade the
10
11 Sec. 4. D efinition o f Terms. - For purposes o f this Act, the follow ing term s shall
13 (a) B a tte ry electric vehicle refers to an electrically propelled vehicle w ith only a
15 (b) B a ttery p a ck re f ers to the mechanical assembly com prising battery cells and
17 (c) Certificate o f Inspection refers to a docum ent issued by the building official
18 o f a local governm ent unit (LGU) to the owner or applicant as a requirem ent
21 Act No. 6541 as revised by Presidential Decree No. 1096, otherwise known as
23 (d) Charging fee refers to the am ount imposed on users in exchange fo r the use
26 (e) Charging sta tio n refers to all equipm ent fo r delivery o f alternating current or
28 and com m unications, and may be located o ff the vehicle. For the purposes
31 accredited by the D epartm ent o f Energy (DOE), who sells, installs, maintains,
5 developm ent. I t shall be incorporated in the Philippine Energy Plan and the
7 (h) D istribution system refers to the system o f wires and associated facilities
14 economic zones;
15 (j) Electric vehicle (EV) refers to a vehicle w ith at least one electric drive for
16 vehicle propulsion. For the purposes o f this Act, it includes a battery electric
24 engaged in the im portation o f com pletely built units o f EV, charging stations,
25 parts and com ponents, and batteries incorporated, organized, and existing
3 and in the case o f commercial and industrial structures, whose goods and
7 fee;
9 the governm ent through its departm ents, agencies, bureaus, offices,
12 and establishm ents, and gasoline stations, which are available fo r use by the
13 public fo r a fee.
14
15 CHAPTER I I
16 ROLE OF GOVERNMENT AGENCIES
17 Sec. 5. G overnm ent Regulations. - All regulations related to the use o f EVs and
18 the establishm ent o f charging stations shall be structured to facilitate the creation o f
22
23 Sec. 6. Pole o f th e D epartm ent o f Energy. - The DOE shall be the prim ary
24 agency tasked w ith th e prom otion o f the adoption o f EVs and the developm ent o f
26 (a) Harmonize existing policies and promulgate uniform and stream lined rules,
31 (b) Develop and update the EV and charging stations com ponent o f the CREV in
32 coordination w ith the DOTr, Departm ent o f Trade and In d u stry (D TI),
1 D epartm ent o f Environm ent and Natural Resources (DENR), D epartm ent o f
2 Public Works and Highways (DPWH), LGUs and other relevant national
3 governm ent agencies (NGAs). The com ponent shall be finished not later than
5 (c) Develop and update the CREV by compiling its various com ponents. The CREV
6 shall be released to the public not later than the 30th o f Septem ber o f every
7 year;
8 (d) Harmonize existing guidelines and issuances related to the prom otion o f the
9 adoption o f EVs and charging stations, and issue plans and program s on the
10 same;
11 (e) Im plem ent, together w ith DOTr and DTI, plans and program pursuant to
12 Section 6(d) o f this Act through inform ation, education, com m unication, and
14 (f) Regularly accredit charging station service providers, and publish on its website
18 plans as part o f th e ir Distribution Developm ent Plans not later than 30th o f
22 (i) Ensure charging stations are com pliant w ith the Philippine Electrical Code,
24 0 ) Aggregate and centralize data from ERC, DTI, DOTr, DENR, Land
27 Competition Commission, LGUs, and other relevant NGAs insofar as EVs and
29 (k) Perform all other acts th a t are analogous to the foregoing, which are necessary
2 under Republic Act No. 9136, otherwise known as the Electric Power In d u stry Reform
4 (a) Promulgate uniform and streamlined rules and requirem ents fo r self-generating
6 (b) Regulate the rates charged by DUs on all charging stations, taking into account,
7 among others, the utilization o f the charging station, the prom otion o f
8 efficiency, the unique requirem ents o f charging stations, and its effect on the
11 (d) Exercise exclusive jurisdiction over ail m atters th a t pertain to rate setting in this
12 Act; and
13 (e) Perform all other acts th a t are analogous to the foregoing, which are necessary
15
16 Sec. 8. Role o f th e D epartm ent o f Transportation. -T h e DOTr shall be the
17 prim ary agency tasked w ith the developm ent o f EV demand generation, and the
18 regulation, registration, and franchising o f EVs. Towards this end, the DOTr shall:
19 (a) Coordinate w ith the DOE and other relevant NGAs in the preparation o f the EV
21 (b) Issue relevant policies on the use, operations, inspection, registration, and
22 franchising o f EVs;
23 (c) Conduct inform ation, education, com m unication, and dem onstration
25 (d) Mandate the inclusion o f green routes in the respective Local Public Transport
27 (e) Perform all o ther acts th a t are analogous to the foregoing, which are necessary
29
30 Sec. 9. Role o f the D epartm ent o f Trade a n d Industry. - The DTI shall be the
31 prim ary agency tasked w ith industry developm ent o f EVs, charging stations, parts and
4 o f EVs;
5 (b) Regulate the quality and safety o f the parts and com ponents o f EVs, charging
8 o f the consumer;
9 (c) Develop and update the m anufacturing com ponent o f the CREV, in coordination
10 w ith DOE, DOTr, Board o f Investm ents (BOI), and other relevant NGAs w ith a
11 focus on EV, charging stations, parts and com ponents, and battery
12 m anufacturing. The m anufacturing com ponent shall be subm itted to the DOE
14 (d) Develop and update the human resource developm ent com ponent o f the CREV,
17 and o ther relevant NGAs. The human resource developm ent com ponent shall
18 be subm itted to the DOE not later than the 30th o f May o f every year;
19 (e) Coordinate w ith the DOE and other relevant NGAs in the preparation o f the EV
21 (f) Develop, in coordination w ith the BOI and other relevant NGAs, the EV incentive
23 (g) Perform all other acts th a t are analogous to the foregoing, which are necessary
25
26 Sec. 10. Role o f Local G overnm ent Units. - In addition to its functions under
28 (a) Id e n tify green routes in th e ir respective Local Public Transport Route Plans
3 (e) Ensure compliance o f public and private buildings and establishm ents w ith
6 Sec. 11. Role o f the D epartm ent o f E nvironm ent a n d N atu ral Resources. - In
7 addition to its functions under existing laws, the DENR shall, in consultation w ith the
8 DOE, DOTr, DTI, and o ther public and private stakeholders, prom ulgate rules and
9 guidelines on the recycling and disposal o f EVs, charging stations, parts and
10 components, and batteries. The DENR, in coordination w ith the DOTr, shall include
11 EVs in the comprehensive air pollution m anagem ent and control program from m otor
13 Act No. 8749, otherwise known as the Clean Air Act o f 1999.
14
16 to its functions under existing laws, the DPWH shall establish guidelines on the
17 following:
22
24 addition to its functions under existing laws, the DOST shall develop and update the
25 research and developm ent com ponent o f the CREV, in consultation w ith the DTI and
26 other relevant NGAs. The research and developm ent com ponent shall be subm itted
27 to the DOE not later than the 30th o f May o f every year.
1 CHAPTER I I I
2 DEMAND GENERATION AND INDUSTRY DEVELOPMENT
3
5 following entities shall ensure th a t at least five percent (5 % ) o f th e ir fleet shall be EVs
6 w ithin the tim efram e indicated in the CREV: Provided, That the CREV shall provide a
7 tim eline fo r the gradual increase o f such percentage until the entire fleet is fully
8 electrified:
9 (a) Industrial and commercial companies such as cargo logistics companies, food
11 (b) Public transport operators, including buses, jeepneys, tricycles, taxis, and
13 (c) LGUs, NGAs, and governm ent-owned and controlled corporations: Provided,
15 w ith Republic Act No. 11285, otherwise known as the Energy Efficiency and
16 Conservation Act.
17
20 constructed a fte r the e ffectivity o f this Act and pursuant to the National Building Code
21 o f the Philippines shall designate dedicated parking slots fo r the exclusive use o f EVs:
22 Provided, That the num ber o f dedicated parking slots shall be proportional to the total
23 num ber o f parking slots w ithin the building or establishm ent: P rovided further. That
24 the use o f dedicated parking slots by vehicles other than EVs shall be punishable under
25 Section 27 o f this Act: P rovided finally, That existing private and public buildings and
26 establishments shall com ply w ith the foregoing requirem ents w ithin the tim efram e
30
31 Sec. 16. Open Access In sta llatio n o f Charging S tations in D edicated Parking
32 Slots. - Dedicated parking slots built in accordance w ith Section 15 shall be installed
1 w ith a charging station: Provided, That the ow ner o f the private or public building or
2 establishm ent shall allow a third party charging station service provider to install,
3 operate, or m aintain the charging station, or enter into any other contractual
4 arrangem ent w ith such third party charging station service provider in fair, reasonable,
5 and nondiscrim inatory term s: P rovided further, That the ow ner o f the private or public
6 building or establishm ent may act as its own charging station service provider by
8 this Act: P rovided finally. That if a DU engages in the business o f a charging station
9 service provider, it shall do so in accordance w ith Section 26 o f Republic Act No. 9136
10 as im plem ented by ERC through its applicable rules and guidelines on business
12
15 stations: Provided, That the owner o f the gasoline station shall allow a third party
16 charging station service provider to install, operate, or m aintain the charging station,
17 or enter into any o ther contractual arrangem ent w ith such third party charging station
18 sen/ice provider in fair, reasonable, and nondiscrim inatory term s: P rovided further.
19 That the ow ner o f the gasoline station may act as its own charging station service
21 provisions o f this Act: P rovided finally. That a gasoline station shall not be issued a
22 construction, operation, or compliance perm it by the DOE unless the ow ner shows
23 th a t there is ample space fo r the construction o f charging stations w ithin its premises.
24
26 Stations. - All public stations shall be open to the public. All private charging stations
27 may be opened to the public. Both public and private charging stations shall be
29
30 Sec. 19. Perm its fo r the Installation o f Charging Stations. - All governm ent
31 agencies including LGUs shall provide fo r a uniform and stream lined perm itting process
10
1 stations: Provided, T h a t the process shall be covered by the provisions o f Republic Act
2 No. 11234, otherwise known as the Energy Virtual One-Stop Shop Act.
5 charging station service provider shall have the following duties and responsibilities:
6 (a) Comply w ith the rules, requirem ents, and standards o f the DOE and ERC in
7 accordance w ith Sections 6 and 7 o f this Act, and perm its and licenses o f
8 governm ent agencies and LGUs in accordance w ith Section 19 o f this Act;
9 (b) Pay the DU fo r electricity consumption from the use o f the charging station in
10 cases where the charging station service provider is the ow ner or operator o f
12 (c) Regularly subm it to the ERC an unbundled structure o f the charging fees
15
16 Sec. 21. Green Routes. - Green routes shall be created or identified by LGUs in
17 th e ir respective localities and approved by the DOTr in accordance w ith Sections 8(d)
19
21 importers, charging station service providers, operators o f testing facilities, and users
22 o f EVs and charging stations shall comply w ith all relevant health, safety, and
23 environm ental laws, rules, and regulations related to the m anufacture, assembly,
25
26 CHAPTER IV
27 INCENTIVES
28
30 (a) Manufacturing
31 The follow ing activities shall be included in the annual Investm ent
32 Priorities Plan (IPP) o f the BOI and shall be entitled to the incentives provided
II
1 under Executive Order No. 226, otherwise known as Omnibus Investm ent Code
2 o f 1987, and other applicable laws fo r ten (10) years from the e ffectivity o f this
3 Act: Provided, T h a t a fte r the aforem entioned period, the inclusion o f these
4 activities in the annual IPP shall be reviewed and may be extended by the BOI:
5 (i) Manufacture and assembly o f EVs, charging stations, and parts and
8 In addition, the DTI, in coordination w ith BOI, shall cra ft and im plem ent
10 sim ilar to Executive Order No. 182 series o f 2015, otherwise known as the
12 strategy shall:
13 (i) Narrow the cost gap between EVs and traditional m otor vehicles and
14 enable the shift o f the local traditional m otor vehicle industry to EVs;
20 (iii)S et local production targets to be achieved w ithin seven (7) years from
23 The DTI, in coordination w ith the BOI, shall establish the application and
25 term s and conditions as it may deem necessary to prom ote the objectives o f
27
28 (b) Im portation
29 The im portation o f com pletely built units o f EVs and charging stations
30 shall be exem pt from the paym ent o f excise taxes, duties, and value-added tax
31 (VAT) fo r nine (9) years from the effectivity o f this Act: Provided, That in the
32 case o f im ported electric jeepneys and electric tricycles, the D epartm ent o f
12
1 Finance, upon recomm endation o f the BOI, may suspend the exem ption in
4 (c) Utilization
5 The follow ing shall be granted the follow ing fiscal incentives, which shall
7 (i) Exemption from the paym ent o f VAT in the purchase o f EVs and charging
9 (ii) A th irty percent (3 0 % ) discount from the paym ent o f the m otor vehicle
10 user's charge imposed by the LTO under Republic Act No. 8794,
13
14 Sec. 24. Non-Fiscal Incentives. - EV users shall be granted the follow ing non-fiscal
15 incentives, which shall remain in force fo r nine (9) years from the e ffectivity o f this
16 Act:
19 (b) Exemption o f electrified PUVs from the m andatory unified vehicular volume
21 im plem ented by the MM DA, other sim ilar agencies, and LGUs; and
24
25 Sec. 25. Financial Assistance. - Governm ent financial institutions and other
26 financial institutions, in accordance w ith and to the e xtent allowed by the enabling
29 Section 23 o f this Act, and preferential interest rates and paym ent scheme on
13
1 assemblers, and end users: Provided, That financing packages fo r EV fleets shall be
4 CHAPTER V
5 FINAL PROVISIONS
6
7 Sec. 26. E stablishm ent o f D edicated Offices. - The DOE, DOTr, and D TI shall
8 establish dedicated offices fo r the effective im plem entation o f this Act. The
9 organizational structure and staffing com plem ent shall be determ ined by the
10 Secretaries o f DOE, DOTr, and DTI, in consultation w ith the D epartm ent o f Budget
11 and Management, and in accordance w ith existing civil service rules and regulations.
12 The budgetary requirem ents necessary fo r the establishm ent o f the dedicated offices
13 shall be taken from the current appropriations o f each agency concerned. Thereafter,
14 the funding fo r the dedicated offices shall be included in the annual General
15 Appropriations Act.
16
17 Sec. 27. Penalties. - The DOE, DOTr, and DPWH shall impose fines and
18 penalties upon any person, both natural and juridical, found guilty o f violating Sections
19 1 5 ,1 6 ,1 7 ,1 8 , and 19 o f this Act. The fines and penalties shall range from a m inimum
21 (P500,000.00), and may include suspension or revocation o f perm its issued: Provided,
22 That this is w ith o u t prejudice to the penalties provided under existing regulations
23 prescribed by other concerned agencies. The DOE, DOTr, and DPWH, in coordination
24 w ith the DTI, DILG, and DENR shall issue appropriate rules and regulations on the
26
28 Commission (JCEC) shall exercise oversight powers over im plem entation o f this Act.
29 The DOE, DOTr, DTI, and other relevant NGAs shall subm it the CREV and a report on
30 the im plem entation o f this Act to the JCEC not later than the 1st day o f December o f
31 every year.
32
14
1 Sec. 29. Im p le m e n tin g Rules a n d Regulations. - The DOE together w ith the
2 DOTR, in coordination w ith DTI, and in consultation w ith other relevant NGAs and
3 public and private stakeholders, shall issue the im plem enting rules and regulations o f
4 this Act w ithin one hundred tw e n ty (120) days upon its effectivity.
6 Sec. 30. Separability Clause. - I f any portion or provision o f this Act is declared
7 unconstitutional, the rem ainder o f this Act or any provisions not affected thereby shall
11 executive order, lette r o f instruction, rule or regulation inconsistent w ith the provisions
13
14 Sec. 32. E ffe ctivity C la u se .- l\\\ s Act shall take effect fifteen (15) days follow ing
Approved,
15