Indonesian Political, Business & Finance News

Finance Minister: EV Incentives Under Discussion with Authorities and Industry

| Source: ANTARA_ID Translated from Indonesian | Energy
Finance Minister: EV Incentives Under Discussion with Authorities and Industry
Image: ANTARA_ID

Finance Minister Purbaya Yudhi Sadewa has stated that studies on incentives for electric vehicles (EVs) are in the discussion phase with relevant authorities and industry players.

For electric cars, for instance, Purbaya mentioned having discussed the matter with the Indonesian Automotive Industry Association (Gaikindo).

“Gaikindo invited me to the car exhibition, but also for discussions, for example, if incentives are needed, what kind of incentives for electric cars and so on,” Purbaya told reporters at the Attorney General’s Office in Jakarta on Friday.

According to Purbaya, the discussions with Gaikindo are not yet complete and will continue in the next meeting.

Meanwhile, regarding electric motorcycles, the Finance Minister stated that he is coordinating with Industry Minister Agus Gumiwang Kartasasmita. The incentives will be directed towards the latest generation of electric motorcycles.

“I will still discuss it with the Industry Minister, approximately there will be incentives for the new electric motorcycles,” he said.

The same was expressed by Industry Minister Agus Gumiwang Kartasasmita.

The Industry Minister conveyed that regarding electric motorcycle incentives, his side has already communicated with the Ministry of Finance, and emphasised that the amount of incentives is still under discussion.

“It’s still being discussed,” said the Industry Minister when met in Jakarta on Thursday (9/4).

He mentioned that the government is currently preparing regulations to support the acceleration of electric vehicle adoption, particularly motorcycles.

Meanwhile, the production of conventional-based motorcycles will not be stopped, but rather directed to meet export market needs, especially to non-traditional regions.

He also conveyed that President Prabowo Subianto’s directive emphasises that all vehicles in the future will be electric-based, in line with the increasing importance of efforts to reduce dependence on fossil fuels.

“Yes, because now it’s increasingly clear the importance of that, to reduce our dependence on fossil fuels. So indeed, there is no other choice that we must convert to electric,” he said.

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