The Philippines is a potential new market for Gogoro, a Taiwanese startup commercializing battery-swapping networks for electric scooters.
The company announced on Tuesday, Nov. 29, that it will begin testing a business-to-business (B2B) battery switch program in Manila during the first quarter of 2023.
This is in collaboration with the Filipino conglomerate Ayala Corporation, the telecommunications provider Globe, and the corporate venture builder 917Ventures.
Globe is a division of the Ayala Corporation, and so is its subsidiary 917Ventures.
Opportunities
According to TechCrunch, the agreement comes after the Philippines removed import taxes on electric cars and their components for five years. The legislation was signed this year to stimulate sustainable energy innovation.
Gogoro CEO Horace Luke told TechCrunch that the tariff removal extends to battery charging and changing equipment, making it the ideal opportunity to launch Smartscooters and battery swapping stations.
Luke said, "The Philippines is trying to electrify, so we're progressively saying we're gonna be the first one to really take a leadership position in that and lead the market."
They see a great opportunity to expand the industry since two-wheelers are not widely used, he added.
Meanwhile, Patrick Aquino, director of the Philippines' Department of Energy's Energy Utilization Management Bureau, said in a statement, "We see this solution being most beneficial to a densely populated region like Metro Manila, which is also the hub of business districts."
He said, "The success of this pilot will pave the way for a new sustainable business model in other cities in the country as well."
Read Also : Gogoro E-Scooter, Battery-Swap Expansions in Israel, Singapore Happens - Thanks to Three-Way Partnership
The Local Market
Gogoro plans to introduce an open network of a battery-swapping system to the Philippines, one that is compatible with locally built electric two-wheelers and Gogoro's own Smartscooters.
For easier market entrance, the firm has worked with electric two-wheeler manufacturers in India and China to incorporate their own swappable batteries into their scooters rather than import their own scooters.
The Philippines is a distinct market, however.
Luke claimed two-wheelers are not as popular as in India or China. Market adoption is increasing alongside delivery and logistics services. Therefore, Gogoro is entering the market with a B2B logistics trial.
B2B Engagements
Gogoro did not confirm which delivery company it would work with first, although Ayala Corp has AC Logistics.
By early next year, Gogoro will send hundreds of Smartscooters, batteries, and six switching stations to Manila for delivery riders.
Luke said the pilot would run for six months before spreading to B2B partners or private customers. Gogoro intends to get market feedback on two-wheeler adoption and battery switching during that period. It would gather car data to fine-tune its algorithm.
Gogoro's worldwide network has approximately 2,260 battery-changing stations. The Taiwan-based firm facilitates more than 370,000 daily battery exchanges and 360 million cumulative swaps.
Just recently, as reported by Tech Times, the firm established a B2B agreement with EV-as-a-Service platform Zypp Electric to power logistics fleets in India. Gogoro plans to conduct a test with Zypp in Delhi in December to complement its current partnership with Hero MotoCorp.
