Department of Energy Cancels Loan for 100,000 Units of Electric Trikes

Department of Energy Cancels Loan for 100,000 Units of Electric Trikes

doe cancel loan electric trikes

About 100,000 units of electric tricycles will be canceled due to high unit price according to the Department of Energy.

DOE said that the loan that was intended to buy the trikes is too high and that they have already informed the Asian Development Bank (ADB) about it. They are just waiting for their response.

According to energy secretary Alfonso Cusi, the 3,000 units funded by the ADB with $30 million were already in production.

It was in February of this year when Bemac Electric Transportation Philippines Inc. which is a unit of Uzushio Electric Co. of Japan won the contract for the building of the 3,000 e-trikes.

An e-trike costs $10,000 or P500,000, half of it is the cost of the battery. When compared to an ordinary tricycle which usually costs as low as P60,000 for second-hand units and upward from P150,000 for better quality parts, it is three times more expensive.

This project, which was a part of the original $504 million e-vehicle project plan jointly funded by the ADB, the Clean Technology Fund (CTF) and the government, was first introduced in 2012 by the energy department hoping that it will reduce the annual petroleum consumption of the transport sector by 2.8 percent, equivalent to 89.2 million liters, and avoid carbon dioxide emissions by 79 percent.

Source: Malaya

No Comments

Post A Comment