Reasons Why DKI Provincial Government Continues to Waive Tax on Electric Vehicles

JAKARTA – The DKI Jakarta Provincial Government has confirmed that it will continue to offer tax exemptions for electric vehicles. This policy includes waivers on Motor Vehicle Tax (PKB) and Motor Vehicle Ownership Transfer Duty (BBNKB) for battery-based electric vehicles, as part of efforts to encourage the use of environmentally friendly transportation. DKI Jakarta Governor Pramono Anung explained that this step is not an independent decision but follows the direction of central government policy. In addition to complying with national regulations, this policy is also part of a strategy to curb air pollution in Jakarta. Local authorities consider electric vehicles to have an important role in reducing emissions, making fiscal incentives necessary to accelerate their adoption among the public. Beyond tax exemptions, support for electric vehicles is also evident in policies exempting them from odd-even restrictions. This measure is expected to further attract public interest in switching to battery-based vehicles. The policy aligns with regulations from the central government, namely Circular Letter from the Minister of Home Affairs Number 900.1.13.1/3764/SJ, which governs the provision of fiscal incentives for electric vehicles. Meanwhile, Head of the DKI Jakarta Regional Revenue Agency (Bapenda), Lusiana Herawati, stated that these incentives will continue to be provided in accordance with applicable provisions. “The DKI Jakarta Provincial Government continues to provide exemptions for PKB and BBNKB on battery-based electric vehicles, in line with the established provisions,” said Lusiana. With consistent incentives, it is hoped that the public will be increasingly encouraged to switch to cleaner and more sustainable modes of transportation.