Secretary General Of Energy And Mineral Resources: Electric Motors Reduce Emissions 40 Percent Lower Than Fuel

Secretary General of the Ministry of Energy and Mineral Resources (ESDM) Dadan Kusdiana. (Photo: Doc. ANTARA)

JAKARTA - Secretary General of the Ministry of Energy and Mineral Resources (ESDM) Dadan Kusdiana said the use of electric motors (EVs) was able to reduce carbon emissions by 40 percent lower than fuel oil (BBM).

He conveyed this based on his experience and calculations while using an electric motorbike since 2017.

"If we use 1 liter of gasoline, maybe 35 kilometers. 1 liter of gasoline emits 2.5 kilograms of emissions. Using electricity, which now has 40 percent lower emissions," Dadan said as quoted by ANTARA, Wednesday, March 6.

Dadan said that the current energy electrification needs to be implemented as a whole, but gradually.

In this case, in order to achieve zero carbon emissions (net zero emissions/NZE) through electrification, the government has started to do several things.

First, implementing a transition to industrial processes to utilize electricity produced by new and renewable energy (EBT).

"Actually, this is a part where the challenges are sufficient or very difficult, because we need to know that the industry is working together," he added.

Second, the government urges the public to start switching to electric vehicles.

Then third, increase electrification in residential and commercial areas.

The PKPN Intermediate Policy Analyst of the Fiscal Policy Agency (BKF) of the Ministry of Finance Rustam Effendi said the government fully supports the domestic electric vehicle industry (EV) by providing various incentives.

Incentives provided by the government include 0 percent import duty for electric vehicle imports, both in full (CBU) and in complete decomposition (CKD), 100 percent income tax reduction (PPh) for business entities that carry out production, assembly, and/or import activities of electric vehicles.

Then, the government's 15 percent luxury goods sales tax (PPnBM) is borne by the government for importing electric cars, and the government's 10 percent value added tax (VAT) for purchasing electric cars.

"We are not playing games for electric cars, supporting them all out. Various kinds of incentives, central taxes... regional taxes (given)," said Rustam.