DKI Jakarta Provincial Government's Decision a Breath of Fresh Air for Prospective EV Consumers

Jakarta (ANTARA) - General Secretary of the Indonesian Young Entrepreneurs Association (Hipmi) Automotive, Hasstriansyah, stated that the DKI Jakarta Provincial Government’s decision regarding tax incentives for electric vehicles and exemption from odd-even (gage) restrictions is a breath of fresh air for prospective consumers.

“Good, the Governor is still implementing tax exemptions. After the news of the decision to maintain tax exemptions in Jakarta, it might provide a breath of fresh air (for prospective consumers),” said Hasstriansyah when contacted in Jakarta on Wednesday.

According to him, the DKI Jakarta Governor’s decision to continue providing incentives for electric vehicles comes at the right time. Previously, there was regulatory uncertainty following the issuance of a Ministry of Home Affairs regulation, which was later adjusted through a circular letter, returning the authority for regulation to local governments.

Due to this uncertainty, many people chose to delay purchasing electric vehicles while awaiting certainty on fiscal incentives, particularly regarding motor vehicle taxes.

“However, it’s still a wait-and-see situation, whether it will be followed by the West Java Provincial Government (covering Jabodetabek), because most EV purchases in Jabodetabek are still due to the odd-even exemption. Therefore, other local governments need to follow DKI Jakarta. I think there is an influence as a consideration for buying an EV or not,” he said.

In addition, the momentum of automotive exhibitions such as the Periklindo Electric Vehicle Show (PEVS) and the Gaikindo Indonesia International Auto Show (GIIAS) in July-August 2026 is predicted to be a determinant.

Consumers tend to wait for new model launches, price updates, and clarity on incentives before making purchase decisions.

According to available data, global electric vehicle sales continue to show positive growth. It is projected that one in four cars sold worldwide will be an EV in the coming years.

EV sales penetration in Indonesia is also impressive, reaching 9-10 percent of total national vehicle sales in 2025.

However, the current population of electric vehicles is only around 45,000 units, still far from the government’s target of 2 million units by 2030.