The Cebu Provincial Government has initiated a mass electric vehicle (EV) rollout for public transportation, offering a zero-down-payment, low-interest financing program. This initiative taps a P2-billion fund under the Small Business Corp. (SB Corp), the financing arm of the Department of Trade and Industry (DTI), with support from the Department of Transportation (DOTr).
Cooperative Onboarding
Close to 30 transport cooperatives applied during a two-day orientation and onboarding session held at the Capitol with supplier GET Philippines Inc. on May 20, 2026. Under the program, approved cooperatives can acquire up to three EV units to upgrade their fleets. Elizar Sabinay Jr. of the Provincial Planning and Development Office (PPDO) noted that Cebu was identified as a priority area for mass EV rollout nationwide.
Co-Investment Scheme
The loan carries an interest rate of one to three percent with a five-year repayment term. Unlike traditional financing, this model requires no initial cash outlay from operators. Each electric mini-bus costs around P4.5 million, with the manufacturer covering half under a co-investment model. The remaining P2.25 million is loaned to cooperatives through SB Corp. Provincial Administrator Joseph Felix "Ace" Durano highlighted that electric buses reduce operational costs to about P5 per kilometer, compared to P50 per kilometer for diesel vehicles.
Fleet Integration
The new units will replace or supplement existing fleets without requiring new franchise applications. Each EV mini-bus can accommodate 35 passengers (25 seated, 10 standing). The supplier will handle maintenance and fast-charging infrastructure in exchange for a share of revenues. Buses will feature a mobile app for real-time tracking and advance ticket purchases.
Rollout Timeline
The Provincial Government targets an initial pilot run in July 2026, with full expansion before September. While most applicant cooperatives operate in Metro Cebu, routes are planned for peripheral areas and island destinations like Camotes and Bantayan. Sabinay emphasized that the program aims to encourage public transport use over private vehicles to address traffic congestion. The PPDO will submit technical studies and a letter of intent to the DOTr and DTI to formalize the agreement.
