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Indonesia to accelerate electric car development

President Joko Widodo (left) engages in light talk with VP Jusuf Kalla ahead of cabinet meeting on electric car on Monday (Jan 14). (photo by: Cabinet Secretary Office)

JAKARTA (RambuEnergy.com) – Indonesia is left behind compared to other countries such as China in the development of the electric car. However, this may change in the next few years as the government has declared its commitment to speed up the development of the electric car in the country.

The government seems to realize that the development of an electric car could help reduce the country’s dependence and a huge amount of fuel imports, which resulted in the widening trade deficit.

Based on the IEA data, China currently is ranked number one in term of the number of electric cars, totaling 1,227,770 units, followed by United States, 762,060 cars, Japan 205,350 units, Norway 176,310 units, UK 133,670 units, Netherlands 119,340 units, France 118,770 units, Germany 109,560 units, Sweden 49,671 units and Belgium 31,630 units.

China also ranked the first in term of charging points (213,903), followed by US (45,868), Ntherlands (32,875), Japan (28,879), Germany (24,289), France (15,978), UK (13,534), Norway (10,350), Canada (5,841) and Korea (5,612).

Under the Joko Widodo administration and with the help of the Energy and Mineral Resources Minister Ignasius Jonan with his team, the electric car development in Indonesia has started to be moving forward.

The government is currently preparing incentives such as favourable tax system that will be imposed on electric cars.

This is reflected in the development of electric car charges or electric vehicle charging station (EVCS) in some fuel stations, the launch of electric car prototypes and the recent inauguration of the development electric car battery project in Maluku.

The car industry players have also shown their support for the development of the electric car industry in the country, although more steps are needed to fast forward the development of the electric car industry in the country.

The development of the electric car will certainly help the country’s economy. According to President Joko Widodo on Monday (Jan. 14), Indonesia could save Rp798 trillion per annum from cutting the fuel imports and offset the imports with the electric car.

Certainly, the electric car helps meet the country’s commitment to reduce the gas emissions.

In order to accelerate the development of the electric car, President Joko Widodo urged his ministers to draft regulations on electric car development as well as tax incentives mechanism.

He also wants the private sector to take part in the electric car industry development in areas of research, electric car production, innovation, human resources development as well as the provision of supporting infrastructures.

Certainly, the industry cannot move by itself. Coordination and among stakeholders are needed to speed up the development of the electric car industry in the country. (*)

Written by Roffie Kurniawan (email: roffie.kurniawan@gmail.com)

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