Toyota Motor Philippines Manufacturing Plant Adopts 100% Renewable Energy Sources

In its commitment to achieving carbon neutrality, Toyota Motor Philippines Corporation (TMP), a leading mobility company and automotive manufacturer, has entered into a Retail Supply Contract (RSC) with a local supplier to procure environmentally sustainable electricity for its manufacturing operations. This strategic initiative enables TMP to attain a 100% Renewable Energy (RE) ratio, with approximately 90% of the company’s total electricity requirement being supplied by the designated partner. This complements the remaining RE sourced onsite from an existing 1.46-megawatt rooftop solar power system.

Commencing its supply to TMP on December 26, 2023, Team (Philippines) Energy Corporation, the chosen retail electricity supplier, will ensure that every megawatt hour is supported by an International Renewable Energy Certificate (I-REC(E)), verifying its sourcing from a domestic RE plant.

TMP President Atsuhiro Okamoto highlighted the significance of this energy transition, stating that it will neutralize TMP’s Scope 2 Emissions, particularly the indirect carbon dioxide emissions from purchased electricity for manufacturing operations. He emphasized that this marks a significant milestone for TMP in its mission to address climate change, positioning its automotive manufacturing plant in Santa Rosa City, Laguna, as a front-runner and early achiever of the 100% RE ratio target for Toyota in the ASEAN region.

Looking ahead to 2035, TMP is committed to decarbonizing the remaining energy sources for manufacturing, specifically targeting petrol-type generators, ovens, and boilers used in painting processes.

In 2020, as part of the global commitment, Toyota set the target for all its manufacturing plants to be carbon-neutral by 2035 under the overarching Net Zero initiative known as the Toyota Environmental Challenge (TEC) 2050.

In its pursuit of carbon neutrality, Toyota not only focuses on expanding the options for accessible electrified vehicles but also aims to reduce the environmental impact of the automotive industry’s value chain through appropriate life cycle actions. Toyota actively involves its supply chain, logistics, and dealer networks in decarbonization efforts.

In the Philippines, local Toyota suppliers and dealers have followed TMP’s lead, implementing energy efficiency and RE initiatives. Several companies, including Denso Ten Philippines Corporation, Hino Motors Philippines Corporation, Denso Philippines Corporation, Toyota Global City, Toyota Mabolo City, and Toyota Pasong Tamo, have undertaken initiatives to achieve a 100% RE ratio through onsite solar power facilities or procuring RE through the Philippine government’s Green Energy Option Program (GEOP).

Ensuring 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’s environmental management systems, following the Toyota Green Purchasing Guidelines and Asia Pacific Eco-Dealership Program mandates.

TMP serves as the distributor of Toyota and Lexus vehicles in the Philippines and is the largest manufacturer of local models, including the Vios and Innova. Additionally, the company is at the forefront of introducing its new Completely Knocked Down (CKD) model, the upcoming Toyota IMV 0 (Zero) or “Next Generation Tamaraw,” with prototypes unveiled to the public in August 2023.