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FAST Logistics Group said reducing truck dwell time is critical to making electric vehicles commercially viable in fast-moving consumer goods logistics
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To justify the upfront cost of EVs, trucks must be utilized for 30 to 40 trips monthly, according to FAST CEO for logistics Manuel Onrejas Jr.
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To reduce dwell time in FMCG warehouses, Onrejas said companies should adopt more efficient picking processes to ensure goods are ready for loading when trucks arrive
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Onrehjas said more accessible credit, longer amortization periods, and lower interest rates, especially for small trucking partners, would make EV adoption more realistic and inclusive
FAST Logistics Group said reducing truck dwell time is critical to making electric vehicles (EVs) commercially viable in fast-moving consumer goods (FMCG) logistics.
EVs can only deliver acceptable returns on investment if they are highly utilized, according to FAST chief executive officer for logistics Manuel Onrejas Jr. in a presentation during a recent American Chamber of Commerce of the Philippines forum.
Onrejas pointed to excessive truck dwell time as the primary constraint limiting EV returns.
Dwell time refers to the hours vehicles spend waiting to be loaded at warehouses or unloaded at retail stores or supermarkets.
In some cases, FAST said dwell time can reach up to 12 hours. For EVs, which carry significantly higher upfront costs than diesel trucks, such delays directly undermine financial viability, it noted.
With more than 3,100 trucks operating daily and over 900 trucking partners nationwide, FAST sees how excessive dwell time slows turnaround and reduces income for truck owners who rely on completed trips.
READ: FAST Logistics targets zero emission by 2050, launches ESG strategy
To justify the upfront cost of EVs, Onrejas said, trucks must be utilized for 30 to 40 trips monthly.
To reduce dwell time in FMCG warehouses, Onrejas said companies should adopt more efficient picking processes to ensure goods are ready for loading when trucks arrive.
For modern trade, he suggested giving electric trucks “green lane” priority — similar to priority lanes for perishables — to speed up unloading and improve turnaround times.
While FAST supports the goals of the Electric Vehicle Industry Development Act (EVIDA), Onrejas noted that electric trucks can cost more than double their diesel counterparts — a major hurdle in a country already facing high logistics costs.
The high cost of EVs makes FMCG companies hesitant to adopt them for transport operations, especially if they have to pass the additional costs to consumers.
Onrejas stressed that sustainability initiatives must not translate into higher prices of household goods.
“We cannot simply pass sustainability costs to our principals if those costs are passed on to consumers already struggling with the rising costs of goods and services,” he said.
Inclusive
Onrejas emphasized that the EV transition must be “practical, inclusive, and economically viable.”
More accessible credit, longer amortization periods, and lower interest rates, especially for small trucking partners, would make EV adoption more realistic and inclusive.
“Operationally, EVs can make sense. But the financing terms have to match reality,” he added.
He also emphasized the need to expand charging infrastructure, noting that today’s network remains limited and constrains long-haul operations. In most cases, FAST has had to build its own EV charging facilities to keep pilot projects moving.
Despite industry constraints, FAST said it has already launched an EV prime mover with a customized 40-foot trailer wing van — in partnership with an FMCG company — supported by a solar-powered EV charger.
Onrejas said the project demonstrates that large-scale EV deliveries are feasible under controlled conditions.
He also explained that the multinational company uses the EV truck only to move goods between its own hubs, which makes charging and scheduling predictable and manageable.
Broader FMCG distribution networks, however, do not always offer the same controlled conditions.—Roumina Pablo
