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Manufacturing

Pangea Motors Aims to Clean Up in Manila

By Bill Virgin July 23, 2014

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This article originally appeared in the August 2014 issue of Seattle magazine.

The jeepney, an iconic vehicle of public transportation in the Philippines, is based on American technology. So its fitting that the next generation of public-transit vehicle might also come from the United States specifically, from a company in Vancouver, Washington.

Pangea Motors LLC hopes to have on the roads of Manila this summer a 16-passenger minibus shuttle known as the Comet. The Comet bears a faint resemblance to the vehicles its designed to replace. Jeepneys originally developed with war-surplus American jeeps as the base tend to be smaller (about 12 passengers), with less headroom inside. The demo model of the Comet is sleek in design and muted in exterior graphics, unlike the boxy and gaudily decorated jeepneys from which passengers enter and exit via a door in the rear. On the Comet, the door is on the side, as with conventional American buses, so passengers arent entering and departing in the roadway.
The big difference comes in what passengers, pedestrians and the residents of the Philippines cant see. Jeepneys are typically powered by diesel engines. With tens of thousands on the road, theyre a contributor to air pollution and notoriously congested traffic in Manila and other cities. Rising fuel prices are also a worry for the jeepney owners and operators.

The zero-emission Comet operates with off-the-shelf lithium-battery technology. The shuttles can run 25 to 50 miles on a six-hour charge, depending on operating conditions and the number of batteries installed. A low parts count about 400 compared to more than 2,500 for a typical gasoline-engine vehicle helps reduce overall inventory and enables rapid assembly.

Its not just the fiberglass-body vehicle that Pangea and its marketing affiliate, Global Electric Transportation (GET), are selling. The Comet, an acronym for City Optimized Managed Electric Transportation, comes with high-tech features such as GPS and WiFi. Those tie into what GET calls a transportation ecosystem for fleet management, maintenance, dispatch and even an electronic-card fare-payment system.

Marrying buses with electric propulsion isnt a new concept. In the United States, companies have been developing conventional-size transit and tourist buses that are powered by batteries. Were not competing in that field, says Pangea CEO Michael Hippert.

Nor is the idea of an electric-powered jeepney unique to Pangea. So-called e-jeepneys have been in operation in parts of the Philippines since 2008.

But Pangea has some things going for it, most prominently, a contract for 10,000 Comets from Pasang Masda, the countrys largest jeepney association, made up of vehicle operators who individually own one to 100 jeepneys. Each Comet is priced at around $18,400.

Having those orders in hand has been a huge boost. Our biggest challenge, Hippert says, is setting up our very first assembly facility in a foreign country and then working with suppliers to meet our demand. We are very fortunate to be building to orders that are carrying us out for years.

Pangea puts together subassemblies at its 12,000-square-foot fabrication facility at the Port of Vancouver and coordinates shipment of other parts from across the United States. The company has a 60,000-square-foot assembly building in Cavite province, just south of Manila, as well as a plant for producing fiberglass bodies. Financing for the venture has come from investors and bank loans, and Pangea is on the hunt for more capital, Hippert says.

Hippert and GET CEO Ken Montler are veterans of the electric-vehicle business. Montler was founder of Global Electric Motorcars, a business later sold to DaimlerChrysler. He also served as CEO of Porteon Electric Vehicles, an Oregon electric-car company no longer in business. Hippert worked with Montler at Porteon.

Their latest venture didnt start with the Comet but with a four-passenger electric taxi Pangea developed for the Philippines. When government officials heard about it, Hippert says, they asked for an electric shuttle that could replace the jeepneys.
The demand called out to us, he recalls.

There may be call-outs from multiple markets if the Comet proves successful in the Philippines. Pangea has had queries from Indonesia, Brazil, Mexico, China and countries in Europe about the applicability of the Comet to their city transport systems.

And what about pangeas domestic market?
The Comet is not certified as street legal in the United States, Hippert explains. Still, there could be applications for small electric shuttles in specific applications of closed or limited areas that are large enough to warrant some system for moving people, such as airports, college campuses, large industrial complexes, military bases, resorts and parks.

Eventually, Hippert predicts, well be building vehicles out of here for the U.S.

That could happen as soon as later this year. Meanwhile, Pangea has its eye on other types of vehicles. The modular design of the Comet allows for easy modification to a cargo van for in-city deliveries. The company is also interested in developing four-passenger vehicles; utility vehicles, including open and closed delivery trucks; special-purpose vehicles for law enforcement, security firms, paramedics and ride-share applications; and a two-seat roadster convertible for recreational use.

Pangea has been hiring workers in the Philippines to assemble the Comet. It has 10 employees in Vancouver but expects to add to that complement as it puts together more subassemblies for shipment to the Philippines.

There have been glitches in the production process, such as a delay of shipping containers getting to Manila and a change in battery design. But there have been pluses as well. On his recent Asian trip, President Barack Obama visited a display of the Comet and took a quick tour inside one.

It grabbed a lot of attention, Hippert says.

Indeed, according to media outlets in the Philippines, Sigfrido Tinga, a former Philippines congressman who is now president of GET, says President Obama told him, If you can get this thing to work, it will be of big benefit.

To that point, Hippert is eager to get the Comet on the road soon since he doesnt expect to have the concept or the market to himself for long.

Were very nervous about this, he says. Were trying to get out there quickly because we know the competition will be knocking on our door.

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