The National Economic and Development Authority (NEDA) Board approved on November 24 the Executive Order (EO) which will implement tariff modification on certain electric vehicles (EV) and their parts and components, as well as NEDA’s guidelines on processing Public-Private Partnership (PPP) proposals. The NEDA Board also confirmed the Investment Coordination Committee (ICC) approvals of six other projects.
In its first meeting under the administration of President Ferdinand R. Marcos, Jr., the NEDA Board endorsed the EO modifying tariff rates on certain EVs such as passenger cars, buses, mini-buses, vans, trucks, motorcycles, tricycles, scooters, and bicycles, among others, including EV parts and components. In particular, the EO will temporarily reduce the Most Favoured Nation (MFN) tariff rates to zero percent for five years on Completely Built Up (CBU) units of certain EVs, except for hybrid-type EVs.
It will also implement tariff modification on certain parts and components of EVs from five percent to one percent for five years. The NEDA Board also indicated that the tariff modification shall be reviewed after one (1) year of implementation with a view to assessing its impact on the development of the EV industry ecosystem.
The EO aims to expand market sources and encourage consumers to consider acquiring EVs, improve energy security by reducing dependence on imported fuel, and promote the growth of the domestic EV industry ecosystem.
Likewise, the NEDA Board approved NEDA’s guidelines on processing PPP proposals.
The new procedures aim to harmonize the review and approval of the NEDA Board and the ICC, including the preparation and submission of government agencies of PPP projects with the joint evaluation of the NEDA Secretariat, the PPP Center, and the Department of Finance.
The guidelines also include the updated list of documentary requirements for solicited and unsolicited PPP proposals.
The issuance of the guidelines is pursuant to Section 2.10 of the Revised 2022 Implementing Rules and Regulations of the Build-Operate-Transfer law.
Further, the NEDA Board approved one new project funded through official development assistance (ODA), and also changes on five ongoing projects.
The Philippine Fisheries and Coastal Resiliency (FishCoRe) project of the Department of Agriculture-Bureau of Fisheries and Aquatic Resources (DA-BFAR), costingPhP11.42 billion, aims to improve the management of fishery resources and enhance the value of production of fisheries in select Fisheries Management Areas (FMAs).
Also approved was the request of the Department of Transportation (DOTr) for utilization of savings, change in scope, and loan validity extension for the Maritime Safety Capability Improvement Project (MSCIP) Phase I, as well as its request for 19-month loan validity extension for the New Communications, Navigation, Surveillance/Air Traffic Management (CNS/ATM) systems development project.
For the Department of Public Works and Highways (DPWH), the NEDA Board approved the request to extend by 12 months both the implementation period and the validity of the loan for the Samar Pacific Coastal Road Project (SPCRP), and the request for change in scope of works, increase in cost, and reallocation of contingency cost to civil works category for Integrated Disaster Risk Reduction and Climate Change Adaptation (IDRR-CCA) Measures in Low-Lying Areas of Pampanga Bay project.
Likewise, the Committee approved the request for change in scope for the Philippine Competition Commission’s (PCC) Capacity Building to Foster Competition Project.
The NEDA Board is chaired by the President of the Philippines with the NEDA Secretary as the Vice-Chairperson.
