Turning On The Electric Vehicle Market, Indonesia Should Not Be Controlled By Imported Products

Electric vehicle (Photo: Antara)

JAKARTA - The government is asked to be aware of the creation of the domestic electric vehicle market. This is so as not to be controlled by imported products of foreign companies.

Energy economic observer at Gadjah Mada University (UGM) Fahmy Totali said the incentives would not necessarily form an electric vehicle market without the availability of electricity charging station infrastructure.

"In the creation of the government's electric vehicle market, we must be aware that domestic markets are not controlled by imported products of foreign companies, such as what happened to the conventional automotive industry," Fahmy said in a statement in Yogyakarta, Sunday.

As of April 1, 2023, the government provides Government-Borrowed Value Added Tax (PPN DTP) incentives for the purchase of four-wheeled electric vehicles and buses to support the acceleration of electric vehicle adoption.

Providing electric vehicle incentives is an inseparable part of the establishment of an ecosystem industry for Nickel-Baterii-Electric Cars, especially in creating markets (market creation) in the domestic market.

In order not to be controlled by imported products, he said, incentives for electric vehicles must require that products be made by factories in Indonesia, and must require a Domestic Component Level (TKDN) of at least 85 percent.

"The government must also require technology transfer, especially 'technical capacity' (technological capacity) within five years. If these requirements are met, in time electric vehicles can be produced by the nation's children themselves," he said.

The infrastructure of charging stations, he said, must be an inseparable part of the formation of an electric vehicle industry ecosystem.

He assessed that the commitment of the State Electricity Company (PLN) was unquestionable in building the infrastructure.

"PLN as the only seller of stun must have a commitment to support electric vehicles in Indonesia," he said.

According to Fahmy, the data shows that the electric vehicle charging infrastructure available in 2022 has reached 616 Public Electric Vehicle Charging Stations (SPKLU), 1,056 Public Electric Vehicle Battery Exchange Stations (SPBKLU) and 6,705 General Electric Charging Systems (SPLU).

In addition, in 2023, the government also plans to increase infrastructure to 750 SPKLU units, 3,000 SPBKLU units and 15,000 SPLU units.

In addition to infrastructure, PLN must also be committed consistently to implementing a migration program from the use of coal to New and Renewable Energy (EBT).

"It is hoped that in the future the use of environmentally friendly energy from upstream to downstream will be created so that it is not impossible for Indonesia to reach 'zero carbon' by 2060," said Fahmy.