AISMOLI proposes fiscal incentives for electric motorcycle infrastructure outside Java

Jakarta (ANTARA) - The Indonesian Electric Motorcycle Industry Association (AISMOLI) has proposed fiscal incentives to encourage investment in charging and battery swapping infrastructure for electric motorcycles, especially outside Java and in regions that are not yet commercially viable.

“In addition to direct development, the government could also consider fiscal incentives for investments in charging and battery swapping infrastructure, particularly for areas that are not yet commercially feasible,” said AISMOLI PR & Event Executive Riniwaty Sinaga when contacted from Jakarta on Tuesday.

According to Riniwaty, a similar approach was utilised in China to accelerate ecosystem development while simultaneously opening markets in regions where infrastructure is still lagging.

She stated that government support is necessary to ensure that infrastructure development is not merely concentrated in areas with high user numbers, but can also reach regions with potential for electric motorcycle expansion.

Riniwaty noted that infrastructure development outside Java currently follows the concentration of electric motorcycle users, most of whom are located in Java, particularly within the Jakarta, Bogor, Depok, Tangerang, and Bekasi (Jabodetabek) areas.

“From a business perspective, infrastructure investment usually follows the user population to achieve utilisation rates and economic viability. However, the prior availability of infrastructure can also increase the confidence of potential users,” said Riniwaty.

According to her, the government, together with PT PLN (Persero), can act as a market driver in regions where demand has not yet formed, especially outside Java and in areas with a surplus of electricity supply.

As of March 2024, the Ministry of Energy and Mineral Resources (ESDM) recorded that 4,892 Public Electric Vehicle Charging Station (SPKLU) units have been operating across 3,163 points.

Meanwhile, Public Electric Vehicle Battery Swapping Stations (SPBKLU) are also continuing to expand to support the national electric motorcycle ecosystem.

A total of 1,907 SPBKLU units have been spread across Indonesia as of March, with 1,480 units located in Java, 238 in Sumatra, 120 in Bali, 48 in Sulawesi, 20 in Kalimantan, and 1 in Nusa Tenggara.