To accelerate the shift to electric vehicles in public transport, the Federation of Philippine Industries (FPI) urged the government to provide targeted support such as EV purchases, concessional financing, and pooled procurement.
FPI Chairperson Elizabeth H. Lee said that this international model called gross cost contracting adapted by countries such as Singapore to support sustainability agenda.
According to Lee, this practical hybrid approach would see government supporting acquisition through subsidies, concessional financing, or pooled procurement, while ownership remains with cooperatives or private operators.
Under this model, operators continue fare collection, while government provides targeted support such as EV purchase subsidies and charging infrastructure.
“This balances fiscal realities with the urgency of modernizing fleets, ensuring that MSMEs and cooperatives can participate meaningfully while government provides the backbone of support,” Lee said.
Meantime, the manufacturers’ group said that the ceasefire between the United States and Iran is a welcome de-escalation, but said for certainty that its economic benefits for Philippine businesses will not be immediate.
“Global oil prices may ease on the news, but domestic impact is not instantaneous. Businesses are still operating on higher-cost inventories, and adjustments in fuel, freight, and supply chains will depend on whether the ceasefire holds. Even then, these adjustments will be gradual, as price transmission in the real economy operates with lags, frictions, and contractual rigidities—not in real time,” said Lee.
