E-trikes loan to be made thru energy dep’t, local gov’ts

The news article titled “E-trikes coming soon to Manila’s streets via city hall tie-up with ADB” (Metro, 2/15/16) contained inaccuracies about Asia Development Bank’s role in the project. The article states that drivers can take out loans from ADB to purchase e-trikes, and make repayments directly to ADB. This is not correct. Rather, ADB has provided a loan to the government of the Philippines for the purchase of the e-trikes.

The Department of Energy, the responsible agency, then enters into agreements with interested local government units (LGUs) and arranges for delivery of the e-trikes. Under a memorandum of understanding, a government financial institution, such as Land Bank of the Philippines, will establish a loan facility with the LGUs and collect the funds from the drivers, which are then paid into the government’s Bureau of Treasury.

—RICHARD BOLT, country director, Philippines Country Office, Asian Development Bank