Title
IRR of Electric Vehicle Industry Development Act
Law
Irr Of Republic Act No. 11697
Decision Date
Sep 2, 2022
The Implementing Rules and Regulations (IRR) of the Electric Vehicle Industry Development Act (EVIDA) in the Philippines aims to promote the development and utilization of electric vehicles (EVs) through the establishment of guidelines for manufacturing, assembly, importation, construction, installation, maintenance, trade, and utilization of EVs and charging stations.

Policy and coverage under EVIDA

  • The State policy under Rule I, Section 2 includes ensuring energy security and independence by reducing reliance on imported fuel for the transportation sector.
  • The State policy includes enabling the development of electric vehicles (EVs) and micro mobility as an attractive and feasible transportation mode to reduce fossil fuel dependence.
  • The State policy includes protecting public health and well-being from hazards of pollution and the greenhouse effect.
  • The State policy includes safeguarding and improving the integrity, reliability, and stability of the electric power grid by optimizing the location of energy sources relative to demand.
  • The EVIDA-IRR applies to the EV industry comprising manufacture, assembly, importation, construction, installation, maintenance, trade and utilization, research and development, and regulation of:
    • electric vehicles;
    • charging stations and related equipment, parts and components;
    • batteries; and
    • related support infrastructure, including recycling, disposal, and handling of wastes.

Core definitions for EV industry

  • The EVIDA-IRR provides that singular may be read as plural and vice versa as context requires (Rule I, Section 4).
  • Battery EV (BEV) means an electrically propelled vehicle with only a traction battery as power source for propulsion, referencing Section 5 of the EVIDA-IRR.
  • Battery Swapping Station (BSS) means a facility allowing EV users to exchange a near empty discharge battery with a fully charged battery, referencing Section 6.
  • Centralized Vehicle-to-Grid Facilities are establishments allowed to supply power to the grid using EVs, referencing Section 7.
  • Certificate of Inspection is a document issued by an LGU building official as a requirement for installation of power lines to certify completeness of electrical wirings pursuant to Republic Act No. 6541 as revised by Presidential Decree No. 1096 (“National Building Code of the Philippines”).
  • Charging Fee is the amount imposed on EV users for the use of commercial charging stations whose individual components shall be unbundled pursuant to Section 11(k) of the EVIDA-IRR.
  • Charging Station is a facility with equipment delivering electrical energy to EVs or their battery, installed in an enclosure with special control functions and communications, which may be located off the vehicle, referencing Section 6.
  • Charging Station Service Provider is a natural or juridical person duly accredited by the DOE who sells, constructs, installs, maintains, owns or operates charging stations or components for a fee.
  • Commercial Use Charging Stations (CUCS) are EV charging stations used by the general public or a defined group, referencing Section 6.
  • Distribution System refers to wires and associated facilities belonging to a distribution utility, between delivery points on transmission/sub-transmission/generating plant connection and the point of connection to the end-user premises.
  • Distribution Utility (DU) is any electric cooperative, private corporation, or government-owned utility with a franchise or authority to operate a distribution system, including those covering economic zones.
  • EV means a vehicle with at least one (1) electric drive for vehicle propulsion, referencing Section 5.
  • EV Industry includes manufacture, assembly, importation, construction, installation, maintenance, trade and utilization, research and development, and regulation of EVs, charging stations and related equipment, parts and components, batteries, and related support infrastructure including recycling, disposal, and handling of wastes.
  • Fleet means a group of road vehicles owned and/or operated by a single juridical entity established to provide same/similar/contiguous/interconnected transport and/or logistics services, with the appropriate franchise permit or authorization.
  • Green routes are public transportation routes identified in Local Public Transport Route Plans and Route Rationalization Plans and approved by the DOTr and the LTFRB to be exclusively traversed by electric public utility vehicles (PUVs).
  • Hybrid-EVs (HEVs) have both a rechargeable energy storage system and a fueled power source for propulsion, referencing Section 5.
  • Importer means any individual, partnership, corporation, or other entity incorporated/organized under Philippine laws engaged in importation of completely built EV units, EVCS, related equipment, parts/components, and batteries.
  • Just transition refers to globally recognized principles guiding the transition to environmentally sustainable economies and societies.
  • Light EV refers to EVs such as electric scooters, electric bicycles, electric personal transport, and other similar vehicles weighing less than fifty kilograms (50 kgs), referencing Section 5.
  • Micromobility means alternative modes of transportation provided by Light EVs, referencing Section 5.
  • Own-Use Charging Stations (OUCS) are EVCS whose utilization is exclusively by an individual, referencing Section 6.
  • Plug-in Hybrid EV is an HEV with rechargeable energy storage that can be charged from an external energy source, referencing Section 5.
  • Private buildings and establishments are residential, commercial, and industrial structures owned or leased by private natural or juridical persons, with goods/services available to the public for commercial and industrial structures.
  • Public buildings and establishments are structures owned or leased by government through its departments/agencies/bureaus/offices, GOCCs, and LGUs.
  • Public Utility Vehicle (PUV) Fleet is a number of units operated or owned by a single operator/juridical entity with a valid Certificate of Public Convenience issued by the LTFRB.
  • Self-Generating Charging Stations are charging stations sourcing electricity from the grid and on-site installed generation facilities, referencing Section 7.
  • Charging Station Service Provider, EVCS Provider, and Charging Fee expressly connect to unbundling and accreditation requirements in the IRR.

EV and EV charging stations rules

  • Electric Vehicle (EV) for EVIDA and the EVIDA-IRR is a vehicle with at least one (1) electric drive for propulsion (Rule II, Section 5).

  • BEVs are EVs with only a traction battery as power source (Section 5.1).

  • HEVs are EVs with a rechargeable energy storage system plus a fueled power source (Section 5.2).

  • Light EVs are EVs used in micro mobility including electric scooters, electric bicycles, electric personal transport, and similar vehicles weighing less than fifty kilograms (50 kg) (Section 5.3).

  • Plug-in hybrid-EVs (PHEVs) are HEVs with rechargeable energy storage that can be charged from an external electric energy source (Section 5.4).

  • The DOE may recognize other EVs through future advances and innovations, provided the EV has at least one (1) electric drive for propulsion (Rule II, Section 5, recognition clause).

  • EV Charging Station (EVCS) is a facility with equipment delivering electrical energy to EVs or their battery, installed in an enclosure with special control functions and communications, and may be located off the vehicle (Rule II, Section 6).

  • Battery Swapping Stations (BSS) are EVCS that allow exchange of a near-empty discharged battery for a fully charged battery (Section 6.1).

  • Commercial Use Charging Stations (CUCS) are EVCS whose utilization is open to the general public or a defined group (Section 6.2).

  • Own-Use Charging Stations (OUCS) are EVCS whose utilization is exclusively by an individual or groups such as cooperatives/corporations/entities (Section 6.3).

  • EVCS may be installed in private and public buildings and establishments as provided in Sections 21 and 22 of the EVIDA-IRR, with the condition that the CREVI shall identify specific types of private and public buildings and establishments to be installed with CUCS.

  • Electricity for EVCS: EVCS that source electricity from the grid and from on-site installed generation facilities are Self-Generating Charging Stations; those allowed to supply power to the grid using EVs are Centralized Vehicle-to-Grid Facilities (Rule II, Section 7).

  • EVCS that source electricity from the grid and on-site installed generation facilities must comply with rules and requirements to be issued.

Charging station providers and regulation roles

  • An EVCS Provider is a natural or juridical person duly accredited by the DOE who sells, constructs, installs, maintains, owns, or operates EVCS or components for a fee (Rule II, Section 8).

  • BSS and CUCS EVCS Providers are allowed to impose and collect fees subject to the unbundling requirement under Section 12(j) of the EVIDA-IRR.

  • Government regulation of the EV industry must facilitate an enabling environment for competitive, equitable, and non-discriminatory private sector participation with preference for indigenous technologies, aiming at long-term energy security, sufficiency, and stable energy prices (Rule III, Section 9).

  • The DOE, in coordination with relevant agencies and stakeholders and after public consultation, must issue guidelines for simplified and expedited processing of licenses, permits, certifications, authorizations, and other EV industry requirements, including reasonable fees (Rule III, Section 9).

  • Prescribed processing times must not exceed the periods provided for, and must observe the limit of three (3) signatures under Republic Act No. 11032 (“Ease of Doing Business and Efficient Government Services Delivery Act of 2018”) and Republic Act No. 11234 (“Energy Virtual One Stop Shop Act”), with implementation in shorter periods and fewer steps.

  • Only indigenous technology meeting global safety standards is considered for that preference provision.

  • After the guidelines are issued, no additional requirements may be imposed unless compliant with the guidelines.

CREVI roadmap and annual planning

  • The Comprehensive Roadmap for the Electric Vehicle Industry (CREVI) is a national development plan for the EV industry with an annual work plan to accelerate development, commercialization, and utilization of EVs (Rule III, Section 10).
  • The CREVI consists of four (4) components:
    • EVs and charging stations;
    • manufacturing;
    • research and development (R&D);
    • human resource development.
  • The EVs and charging stations component includes development standards/specifications, promotion of EVs in public transport applications, designation of dedicated parking slots, design/construction/installation of EVCS in dedicated parking slots and dedicated spaces for PUVs, and design/construction considering EV size/weight/maneuver and safety.
  • The manufacturing component emphasizes local manufacturing for both public transport and individual use, and includes manufacturing standards for EVs, batteries and facilities, recycling facilities, and parts/components and charging stations/equipment.
  • The R&D component generates science and technology-based policies and local technologies for commercialization.
  • The human resource development component builds skills and capacity of needed personnel for the EV industry.
  • The CREVI is incorporated in the Philippine Development Plan, Philippine Energy Plan, and National Transport Policy, with integration of green routes and implementation of harmonized traffic rules for EV use when mixed traffic cannot be avoided.
  • CREVI projects and activities are grouped into short-medium- and long-term activities for investment determination, implementation, and monitoring.

Government agencies: DOE, ERC, DOTr, DTI, LGUs

  • The DOE is the primary agency for promoting EV adoption and developing EVCS and related equipment (Rule IV, Section 11).

  • The DOE must promulgate uniform and streamlined rules/standards on use, operations, and maintenance of EVCS and related equipment, including accreditation of EVCS providers and DU requirements for compliance with the EVIDA-IRR.

  • The DOE must convene a Technical Working Group (TWG) within two (2) months from the effectivity of the EVIDA, chaired by the DOE, composed of DOE, DOTr, DTI, DOST, DENR, DPWH, DILG, and NEDA, to harmonize policies and standards; it may invite stakeholders as resource persons.

  • The TWG output may form part of DOE guidelines under the streamlined processing provision.

  • The DOE must develop and update the EV and EVCS component under the CREVI in coordination with the DOTr and in consultation with LGUs/NGAs, completing it not later than the 30th of May every year.

  • The DOE must develop and update the CREVI by consolidating its components and publish it on its website not later than the 30th of September each year.

  • The DOE must implement with DOTr and DTI information/education/communication/demonstration campaigns consistent with the CREVI.

  • The DOE must accredit EVCS Providers and make available to the public on its website an annual inventory of all accredited EVCS Providers and a list of all CUCS and BSS in the country.

  • The DOE must require DUs to submit charging infrastructure development plans as part of their Distribution Development Plans (DDPs) not later than the 30th of August every year.

  • The DOE must enforce compliance with installation of EVCS required under Sections 18 and 19 of the EVIDA.

  • The DOE must enforce EVCS compliance with the Philippine Electrical Code and provisions under Republic Act No. 7920 (“New Electrical Engineering Law”), the Philippine Distribution Code, and other standards, and must conduct regular inspections of CUCS and BSS.

  • The DOE must ensure unbundling of charging fees by CUCS and BSS.

  • The DOE must enforce EV compliance with Section 17 of Republic Act No. 11285 (“Energy Efficiency and Conservation Act”).

  • The DOE must consolidate and centralize EV/EVCS data from DTI, DOTr, DENR, ERC, LTO, LTFRB, LGUs, and other NGAs for public access.

  • The DOE must perform acts necessary and incidental to implement EVIDA and the EVIDA-IRR, including development and implementation of targeted time-bound projects.

  • The Energy Regulatory Commission (ERC) must regulate rates charged by DUs on all EVCS, considering EVCS utilization, promotion of efficiency, ERC rate-setting methodology under Section 43 of EPIRA, EVCS unique requirements, and EVCS effect on DU demand profile and distribution system (Rule IV, Section 12).

  • The ERC must promulgate uniform and streamlined rules and requirements for compliance with Section 7 and compliant with the streamlined processing provision in the EVIDA-IRR.

  • The ERC performs analogous acts necessary to achieve EVIDA and EVIDA-IRR objectives.

  • The DOTr is primary agency for EV demand generation and regulation/registration of EVs and franchising of EVs for public transportation (Rule IV, Section 13).

  • The DOTr must coordinate with the DOE for the preparation of the EV and EVCS component of the CREVI.

  • The DOTr must promulgate uniform streamlined policies/rules/requirements through attached agencies on EV use, operations, inspection, registration, and franchising, consistent with the streamlined regulation provision.

  • The DOTr must exempt from payment of registration fees under the EVIDA and registration with the DOTr and attached agencies Light EVs (LEVs) that are for exclusive private use and not intended for operation/use on public highways, or operated only on highways not constructed/maintained by the government, or intended not to be used/operated at all.

  • The DOTr must ensure the CREVI is part of and consistent with a comprehensive sustainable transportation plan.

  • The DOTr must coordinate with the NCCA on preserving the artistic design of traditional jeepneys for EVs intended for public transportation, with artistic design limited to color scheme, logos, fonts, and stickers on outer panels; road safety/road-worthiness parts (including engine/chassis/lights/functional parts) are governed by LTO and LTFRB rules.

  • The DOTr must conduct info/education/communication/demonstration campaigns with DOE and DTI.

  • The DOTr must mandate inclusion of green routes in public transport route plans using green route selection criteria.

  • The DOTr may provide additional support to EV PUVs consistent with the EVIDA-IRR and the CREVI.

  • The DOTr must develop a program for a just transition for gradual phase-in of electric PUVs, in coordination with stakeholders.

  • The DOTr must conduct capacity-building activities for affected PUV operators, drivers, technicians, with DOE, DTI, DILG, TESDA, and LGUs.

  • The DOTr must conduct inspection and registration through LTO using the Motor Vehicle Inspection System (MVIS) to ensure quality/safety of parts/components and vehicle soundness set in Philippine National Standards (PNS).

  • The DOTr, through LTO and LTFRB, must strictly implement EV-related rules and issuances and amend accordingly subject to public consultations and compliance with existing laws.

  • The DTI is primary agency for promoting and developing local manufacturing of the EV industry (Rule IV, Section 14).

  • Through Bureau of Philippine Standards (BPS), the DTI must formulate and regularly review relevant Philippine National Standards (PNS) for the EV industry to ensure consumer protection and trade facilitation, considering safety/quality/environmental advances.

  • The DTI must regulate quality and safety of parts/components via standards through BPS and accredit inspection/testing/certifying bodies offering conformity assessment through the Philippine Accreditation Bureau.

  • The DTI must develop and update the manufacturing component of CREVI and submit it to DOE not later than the 30th of May every year (in coordination with DOE, DOTr, BOI, and relevant NGAs).

  • The DTI must develop and update the human resource development component of CREVI and submit it to DOE not later than the 30th of May every year (in coordination with DOLE, TESDA, CHED, and relevant NGAs).

  • The DTI, through BOI and in coordination with other NGAs, must develop the EV incentive strategy under Section 24(a) of the EVIDA and other adoption programs to build EV ecosystem.

  • The DTI must develop, with DENR, a program for adoption of manufacturing and recycling standards for EV batteries and facilities.

  • The DTI must perform market research using its Competitiveness and Innovation Group (CIG) as inputs to CREVI and EV policy and industry development.

  • The DTI must implement competitiveness initiatives through CIG focusing on innovation and digital transformation for local EV manufacturing.

  • The DTI must allocate budget for EV-related trainings through TESDA in coordination with DOE and DOTr.

  • The LGUs must include green routes in their LPTRO consistent with the National Transport Policy, DOTR Department Order No. D)2017-11, DOTR-DILG Joint Memorandum Circular No. 001, series of 2017, green route selection criteria to be issued by DOTR, and other issuances (Rule IV, Section 15).

  • LGUs must issue Certificates of Inspection to EVCS.

  • LGUs must provide segregated lanes for LEVs in all major local and national roads in coordination with DPWH (lanes may be integrated with bicycle lanes).

  • LGUs must submit to DOE not later than the 30th of January every year the list of all commercial use charging stations in their localities.

  • LGUs must issue permits for consultation or renovation of buildings or establishments pursuant to DPWH guidelines under the EVIDA.

  • LGUs must ensure compliance of public and private buildings/establishments with Section 18 of the EVIDA.

  • LGUs must issue policies or legislations regulating EV operations consistent with the EVIDA and EVIDA-IRR.

  • LGUs must provide designated loading and unloading stations for EVs.

  • The DPWH must establish guidelines for:

    • construction/installation of charging stations and related equipment in buildings and establishments; and
    • issuance of permits for construction or renovation of buildings/establishments pursuant to Section 17 of the EVIDA (Rule IV, Section 16).
  • DPWH must assist skills acquisition for EV training and assessment programs with TESDA and industry, using TESDA-accredited assessment and training centers and skills assessors/trainers in skills multiplier programs.

  • DPWH must utilize its network of heavy equipment/vehicle shops and motorpool facilities as EVCS for its fleet and other NGAs whenever feasible.

  • DPWH must assist DOE, DTI, and DENR through the Bureau of Equipment (BOE) in EV R&D focused on reliability, maintainability, operability, and EV life cycle management strategy and standards.

  • DPWH must assist DOTr in reviewing/updating EV registration focused on system reliability, adjustment of road safety parameters, and driver/operator knowledge.

  • The DOST must develop and regularly update the CREVI R&D component in consultation with DTI and relevant NGAs, with submission to DOE not later than the 30th of May every year (Rule IV, Section 17).

  • Technical/financial support for studies must conform to the National Harmonized R&D agenda, including localized transport studies by accredited state universities and colleges at the local level.

  • The DENR must promulgate rules and regulations on recycling and disposal of EVs, EVCS, related equipment, parts/components, and batteries in consultation with DOE, DOTr, DTI, and stakeholders consistent with Republic Act No. 6969 (“Toxic Substance Hazardous and Nuclear Waste Control Act of 1990”) and related issuances (Rule IV, Section 18).

  • DENR must include EVs in the comprehensive air pollution management and control program under the Clean Air Act of 1999 (Republic Act No. 8749), including updating air quality standards and studying incentives for carbon offsetting.

  • DENR, in coordination with DOE, must establish guidelines for accurate characterization, disposal, handling, and management of EV/EVCS wastes.

  • The NEDA must include the CREVI in the Philippine Development Plan in recognition of the EV industry’s role in national development (Rule IV, Section 19).

Demand generation obligations

  • Covered entities must ensure at least five percent (5%) of their fleet, whether owned or leased, are EVs within the timeframe indicated in the CREVI (Rule V, Section 20).
  • Covered entities include industrial/commercial companies such as cargo logistics/freight forwarding, parcel/food delivery, tour agencies, hotels, power utilities, and water utilities.
  • Covered entities include public transport operators including Public Utility Minibuses, Public Utility Buses (PUBs), Public Utility Jeepneys (PUJs), Utility Vans (UBs), Filcab, Shuttle Services, Tourist Transport Services, School Services, tricycles, taxis, and transport network vehicle services.
  • Covered entities include LGUs, NGAs, and GOCCs, with electrification of government fleets treated as a government energy efficiency project under Republic Act No. 11285.
  • The CREVI provides a timeline for achieving the mandatory EV share and a gradual increase until the entire fleet is EVs, considering energy supply and EVCS/other conditions affecting optimal EV utilization, and considering financial implications for MSMEs and the availability of EVCS and parking slots.
  • The DOE may issue guidelines for effective implementation consistent with the CREVI and EVIDA/IRR.
  • The mandatory EV share applies to the entire fleet regardless of whether fleets were acquired before or after effectivity of the EVIDA and EVIDA-IRR.

EV parking and charging installation mandates

  • Private and public buildings and establishments constructed after the effectivity of the EVIDA and pursuant to the National Building Code must designate dedicated parking slots for exclusive EV use, including LEVs (Rule V, Section 21).

  • The number of dedicated parking slots must be proportional to total parking slots as provided in the CREVI.

  • If a building or establishment has twenty (20) or more parking slots, it must provide at least five percent (5%) dedicated EV parking slots.

  • Existing private and public buildings and establishments must comply with these dedicated parking requirements within the timeframe indicated in the CREVI.

  • The DOE may issue guidelines for effective implementation consistent with the CREVI and EVIDA/IRR.

  • The CREVI determines when dedicated parking slots must be installed with EVCS either by the building/establishment owner or an EVCS Provider (Rule V, Section 22).

  • The owner of the private or public building or establishment has first priority to install, operate, or maintain a charging station on its premises.

  • The DOE may issue implementation guidelines consistent with the CREVI and EVIDA/IRR.

  • Select gasoline stations identified in the CREVI must designate dedicated spaces for installation of CUCS (Rule V, Section 23).

  • The CREVI determines when dedicated spaces in gasoline stations must be installed with a CUCS by the gasoline station owner or an EVCS Provider.

  • The gasoline station owner has first priority to install, operate, or maintain a CUCS on its premises.

  • A gasoline station required by the CREVI to have designated EVCS space must not be issued a DOE construction, operation, or compliance permit unless the owner shows there is ample space within its premises.

  • The DOE may issue implementation guidelines consistent with the CREVI and EVIDA/IRR.

  • No LGU permit may be issued for construction or renovation of a building or establishment unless the applicable provisions in Sections 21, 22, and 23 of the EVIDA have been complied with (Rule V, Section 24).

  • The process, timeframe, and permitting requirements under this section must comply with Section 9 of the EVIDA-IRR.

Stakeholder duties: charging stations and DUs

  • An EVCS owner or operator must:

    • comply with applicable rules/requirements/standards, including national standard for EV power output rating and safety distance for charging station construction/installation, and applicable permits/licenses of relevant NGAs and LGUs (Rule VI, Section 25(a));
    • pay the DU for EVCS electricity consumption when applicable (Rule VI, Section 25(b));
    • unbundle charging fees imposed by BSS and CUCS (Rule VI, Section 25(c));
    • regularly submit to the DOE an unbundled structure of charging fees imposed by BSS and CUCS on EV users (Rule VI, Section 25(d)).
  • A DU must:

    • provide necessary power requirements for EVCS establishment and operation consistent with its DDP (Rule VI, Section 26(a));
    • prepare the charging station infrastructure development plan and incorporate it in its DPP (Rule VI, Section 26(b));
    • comply with Section 26 of EPIRA as implemented by ERC rules and guidelines on business separation and unbundling when it engages in the charging station service provider business (Rule VI, Section 26(c)).

Fiscal and non-fiscal incentives

  • Activities for fiscal incentives evaluation for inclusion in the SIPP and possible entitlement under incentives frameworks must include:
    • manufacture and assembly of EVs, EVCS, batteries and parts/components; and
    • establishment and operations of EVCS and related support infrastructure such as R&D centers, training centers, testing centers, and waste treatment facilities (Rule VII, Section 27).
  • BOI in coordination with DOE and DOTR must issue guidelines for endorsement for fiscal incentives under Section 27, with endorsement process/t

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