Periklindo Urges Government to Clarify EV Incentive Requirements
Achmad Rofiqi, Deputy Chairperson for Public Relations at the Indonesian Electric Vehicle Industry Association (Periklindo), has called on the government to clarify the requirements for automotive companies entitled to receive electric vehicle (EV) incentives. This follows the decision that incentives will no longer be provided directly to consumers.
“In my view, if this is indeed restricted, it will become a step backwards,” he said during a webinar via Zoom on Friday, 24 July 2026.
The request was made after Minister of Finance Purbaya Yudhi Sadewa stated last Tuesday that the plan to provide incentives would be redirected to certain companies. However, the plan still requires input from the Ministry of Industry and the Daya Anagata Nusantara Investment Management Agency (BPI Danantara).
Rofiqi said that electric vehicle industry players have yet to receive clear guidance on how to qualify for the incentives. Technical details such as the Domestic Component Level (TKDN) per vehicle unit or the investment amounts required of each brand remain unknown.
On the other hand, he considered the plan to grant incentives to only a handful of companies unfair to the automotive industry. “This will also slow the development of manufacturing in Indonesia,” he said.
Rofiqi noted that domestic automotive industry players are still hoping that many other entities will enter the market. Providing incentives evenly, as was done previously, attracts foreign investment.
Beyond job creation, such investment would also bring technology transfer across all areas. “It would give Indonesia’s younger generation the opportunity to learn advanced technology, not just conventional cars,” Rofiqi said.
Periklindo continues to respect whatever rules the government enacts, including the evaluation of electric vehicle incentives. Industry players are currently waiting for the regulations to be issued.
Last Tuesday, Minister of Finance Purbaya Yudhi Sadewa stated that incentives for electric cars would be considered. The subsidy quotas for motorcycles and cars will also remain at 100,000 units each.
The implementation of electric vehicle incentives this year has slipped from the original June target. A new scheme is being planned, but its execution remains uncertain.