Indonesian Political, Business & Finance News

Investment Ministry Seeks EV Charging Station Investors, Plans Regulatory Revision

| Source: GALERT
JAKARTA - The Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) is working to attract investors for public electric vehicle charging stations (SPKLU) in Indonesia.

Minister of Investment and Downstreaming/Head of BKPM Rosan Roeslani said that battery electric vehicle (BEV) sales growth in Indonesia has been highly significant, though he acknowledged that the number of charging stations remains limited.

He noted that average annual EV sales growth from 2019 to 2024 reached approximately 331%. Meanwhile, data from Gaikindo recorded electric car sales in 2024 at 43,188 units, surging 153.28% year-on-year compared to 17,051 units in 2023.

As a result, Rosan said his ministry would revise government regulations to make it easier for the private sector to invest in charging stations, thereby increasing their numbers.

"The hope is that, most importantly, if there are EV batteries then the charging infrastructure must also be available. Our charging stations are indeed still insufficient. Therefore, we will revise one of the government regulations to enable third parties to operate charging stations," Rosan explained in Jakarta, as quoted on Wednesday (7 May 2025).

He said this could potentially drive charging station growth to spread rapidly across Indonesia. If electric car growth accelerates but the number of charging stations remains inadequate, it would naturally diminish public interest in adopting BEVs going forward.

Beyond charging station investment, Rosan also expressed hope that private companies or third parties would invest in building research and development (R&D) facilities related to electric vehicles in Indonesia. He said the government has prepared incentives of up to 300%.

"This is what we are requesting of them, and the government has already provided incentives should they conduct research and development in Indonesia. Since 2022, the legislation has been in place, and they can be granted incentives of up to 300%," he said.

According to Bisnis records, among the private entities investing in charging stations in Indonesia are V-Green and Prime Group. The multinational conglomerate from the United Arab Emirates (UAE) signed a memorandum of understanding (MoU) to build charging stations specifically for VinFast electric cars in Indonesia. The two companies are targeting the construction of at least 100,000 VinFast charging stations within the next three years, with a projected investment value of US$1.2 billion, or approximately Rp19.2 trillion (assuming an exchange rate of Rp16,000 per US dollar).

Meanwhile, according to data from state electricity company PT PLN (Persero) as of April 2025, PLN together with its partners has provided 3,558 charging station units spread across 2,412 strategic locations throughout the country.
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