Davao City Councilor Temujin "Tek" Ocampo has called on Green GSM Philippines Taxi to formally coordinate with the local government regarding its plan to introduce 500 electric taxi units into the city. The councilor, who chairs the Committee on Environment, emphasized that such a large-scale deployment could exacerbate existing traffic congestion.
Traffic Concerns and Lack of Consultation
Ocampo raised his concerns during the Pulong-Pulong sa Dabawenyos on Monday, January 12, 2026. He stated that the city is already grappling with heavy traffic, partly due to the premature opening of Segment B of the Davao Coastal Road. This segment connects Tulip Drive and Times Beach to Roxas Avenue via the new Bucana Bridge.
"You need to consult the City of Davao, the committee on transportation. We have a local transportation board, so you need to consult them because we can’t just arbitrarily approve anything regarding taxis," Ocampo asserted. He revealed he was unaware of the company's presence until news broke that the electric vehicles had already arrived at the city's port.
He clarified that the company should have first engaged with the Committee on Transportation before approaching his environmental committee. Following the incident, personnel from Green GSM visited his office to discuss how the city government could assist. Ocampo relayed that Acting Mayor Sebastian "Baste" Duterte insisted the company must comply with all requirements before commencing operations.
Permit Violations and Depot Closure
The City Government of Davao disclosed that Green GSM failed to secure several mandatory permits, including:
- A business permit
- A locational clearance
- A building permit
The local government reminded the company, which operates a fleet of VinFast electric vehicles, that securing these permits is a legal obligation. The Land Transportation Franchising and Regulatory Board–Davao Region (LTFRB-Davao) confirmed it had duly informed Green GSM of the necessary requirements.
Due to this non-compliance, the local government ordered the immediate closure of the company's Davao depot located at JFM Sasa Property. A closure notice was posted on its gate, halting its planned operations.
Incentives Await Compliance
Councilor Ocampo instructed the company to fulfill all regulatory requirements, noting that Davao welcomes all investors. He highlighted a proposed ordinance he authored, which offers incentives to various stakeholders in the electric vehicle ecosystem, including:
- Manufacturers and dealers
- Vehicle operators and users
- Charging station operators
- Battery recycling facilities
Ocampo stated that if Green GSM complies with all stipulations, it could benefit from these incentives once the ordinance is approved by the city council.
Despite the current regulatory hurdle, the project's potential economic impact is significant. The Davao City Investment Promotions Center (DCIPC) projected the electric taxi service could create around 20,000 jobs initially, with the potential to grow to 70,000 once fully scaled.
Green GSM Taxis had officially launched in Davao on December 15, 2025, aiming to provide a safe and eco-friendly transport option. The VinFast units, with a 326-kilometer range, were to operate under a hybrid model combining app-based booking and traditional street hailing.
