Chinese e-bus supplier eyes assemply plant in Phl

MANILA, Philippines - A Chinese electric bus (e-bus) supplier is interested in establishing an assembly plant in the Philippines.

Green Frog Zero Emissions Transport managing director Philip Go Apostol told reporters over the weekend that the company will be importing the e-buses from a Chinese firm to help bring down transport costs and promote a cleaner environment.

“Our bus manufacturing partner is willing to discuss opening an assembly plant after local demand is proven. They want to see how fast the first 50 zero emission buses are absorbed into the market,” Apostol said.

Green Frog can manufacture 62 e-buses before the end of 2012.

Already, Apostol said that 36-passenger e-bus can ply different routes in Makati, where charging station will also be located. The fare is estimated at only P8 per passenger.

The cost of manufacturing an e-bus is still undisclosed as there are still developments in mainland China that may impact on costs.

“Their National Government (China) is subsidizing all the new energy buses to decrease pollution levels in their cities. This is a coordinated effort from the national and local government to invest in the manufacturers, subsidize purchases and speed up regulatory approvals,” Apostol said.

But he lamented that there are still no government incentives in the Philippines for importing and operating completely built-up zero emissions buses.

Apostol said that the Chinese government helps jump start the industry by initially waiving import duties in CBU’s (completely built units).

The Green Frog official said they have already received pledges for financing from a domestic bank while it was awaiting PhilExim approval for a loan guaranty from the Philippine Export-Import Credit Agency (PhilEXIM), a line agency of the Department of Trade and Industry (DTI).

Apostol said government regulatory approvals took longer than planned which pushed back introduction of the zero emissions buses. He expects the first batch to arrive in August.

Nonetheless, Apostol said the City of Makati, and the energy and transportation departments as well as the Board of Investments have been helpful in getting the e-bus project off the ground.