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Toyota in Phl goes green, embarks on 100% renewable energy

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True to its commitment to be at the forefront of sustainable mobility as a way of life, Toyota Motor Philippines Corporation (TMP), has signed a Retail Supply Contract (RSC) with a local supplier to provide green-backed electricity for its manufacturing operations.

This is a reaffirmation of Toyota’s bid towards carbon neutrality and to achieve 100% Renewable Energy (RE) ratio by supplying approximately 90% of the Company’s total electricity requirement, complementing the rest of RE sourced onsite from an existing 1.46- megawatt rooftop solar power system.

Team (Philippines) Energy Corporation – the retail electricity supplier – will commence its supply to TMP on December 26, 2023. Based on the RSC, every megawatt hour will be backed by an International Renewable Energy Certificate or I-REC(E), which verifies its sourcing from a domestic RE plant.

Photos show Philippine President Ferdinand Marcos Jr. together with Toyota Motor Corporation Chairman Akio Toyoda and TMP Chairman Alfred V. Ty in August 2023 during a plant visit showcasing TMP’s sustainable practices in manufacturing operations. (Photos courtesy of Presidential Communications Office)

“This energy transition will neutralize TMP’s Scope 2 Emissions, particularly the indirect carbon dioxide emissions from purchased electricity for manufacturing operations,” TMP president Atsuhiro Okamoto remarked.

“Such is a significant milestone for TMP and its mission to address climate change, making its automotive manufacturing plant in Santa Rosa City, Laguna the front-runner and early achiever of 100% RE ratio target for Toyota in the ASEAN region.”

Until year 2035, TMP is geared towards decarbonizing the rest of its energy sources for manufacturing, particularly for petrol-type generators, ovens and boilers for painting processes.

In 2020, Global Toyota set its target for all its manufacturing plants to be carbon-neutral by 2035 under the Company’s overall Net Zero commitment, better known as the Toyota Environmental Challenge (TEC) 2050.

Life Cycle Action

In pursuing carbon neutrality, Toyota not only sets its eyes on expanding options of accessible electrified vehicles for diversified customers but also on reducing the environmental impact of the automotive industry’s value chain through appropriate life cycle actions. Toyota actively engages its supply chain, logistics and dealer networks in decarbonization.

TMP’s Santa Rosa plant is a manufacturing base for the Vios and Innova, as well as the future IMV 0 (Zero) or Next Generation Tamaraw.

Doing their part in tackling the TEC 2050 in the Philippines, local Toyota suppliers and dealers have followed TMP’s lead and implemented energy efficiency and RE initiatives. To date, several companies also have undertakings to achieve 100% RE ratio, either by investing in onsite solar power facility and or procuring RE through the Philippine government’s Green Energy Option Program or GEOP. These companies include Denso Ten Philippines Corporation, Hino Motors Philippines Corporation, Denso Philippines Corporation, and International Wiring Systems Philippines for suppliers, as well as Toyota Global City, Toyota Mabolo City, and Toyota Pasong Tamo for dealers.

In terms of compliance with strict environmental standards, Toyota suppliers and all established Toyota dealers nationwide (including Lexus Manila) are certified under ISO 14001, as part of Toyota environmental management systems’ (Toyota Green Purchasing Guidelines and Asia Pacific Eco-Dealership Program) mandates.

TMP is the distributor of Toyota and Lexus vehicles in the Philippines and the largest manufacturer of local models, presently the Vios and Innova. The Company is also spearheading its new Completely Knocked Down (CKD) model, the forthcoming Toyota IMV 0 (Zero) or “Next Generation Tamaraw,” the prototypes of which were unveiled to the public in August 2023.

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