Dear PAO,

As I am living far from my place of business, I am contemplating whether or not to buy a car. It would save me from the hassle of a daily commute. I confided this to some of my closest friends who are car enthusiasts, and they advised me to get an electric vehicle. I was told that this would be a good choice since I can use it daily as it is not covered by the number coding scheme. Is there a law that really exempts electric vehicles from the number coding scheme?

Dioneah

Dear Dioneah,

Please be informed of Section 25 of Republic Act 11697 or the “Electric Vehicle Industry Act,” which states that:

“Section 25. Non-Fiscal Incentives. - The following non-fiscal incentives shall remain in force for eight (8) years from the effectivity of this Act:

“(a) For EV users x x x

“(2) Exemption from the mandatory unified vehicular volume reduction program, numbercoding scheme, or other similar schemes implemented by the Metropolitan Manila Development Authority, other similar agencies, and LGUs;”

Based on the above-stated law, electric vehicles (EV) are exempt from the number coding scheme. This would mean that EV owners can now use their vehicle for the whole week.

Aside from the exemption from the number coding scheme, the law provides other incentives as provided for under Chapter IV, Section 25 of the given law, to wit:

“Section 25. Non-Fiscal Incentives. - The following non-fiscal incentives shall remain in force for eight (8) years from the effectivity of this Act:

“(a) For EV users:

“(1) Priority registration and renewal of registration, and issuance of a special type of vehicle plate by LTO;

“(2) Exemption from the mandatory unified vehicular volume reduction program, numbercoding scheme, or other similar schemes implemented by the Metropolitan Manila Development Authority, other similar agencies, and LGUs;

“(3) Expeditious processing by the LTFRB of applications for franchise to operate, including its renewal, for PUV operators that are exclusively utilizing EVs; and

“(4) Availment of TESDA Training Programs on EV assembly, use, maintenance, repair for its employees; x x x”

As can be seen above, to encourage and attract manufacturers, importers and users to actively take part in the promotion, production, and usage of EVs in the country, possible entitlement to tax incentives and non-fiscal incentives shall be granted to those who are qualified.

We hope that we were able to answer your queries. This advice is based solely on the facts you have narrated and our appreciation of the same. Our opinion may vary when other facts are changed or elaborated.