jstar
Mr. 10,000
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- Jul 31, 2016
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Talking about the financial aspects of EVs: The government will provide incentives for electric vehicles. It is estimated that starting June 2023 subsidies for electric vehicles will be in place.
However, there are conditions so that electric cars can get incentives. According to the Minister of Industry Agus Gumiwang Kartasasmita, the main requirement for subsidized electric cars is that they must be produced domestically. "Once again, those who get incentives are those who have factories," Agus said in the 2022 End of Year Press Conference & 2023 Industry Outlook Seminar two days ago. He added: “So we’re announcing plans to provide incentives, one of my statements from Brussels is that this is the government's effort to pressure the automotive industry to invest in electric vehicles in Indonesia,"
They're not sure yet about the amounts of the subsidies. However, they expect roughly 80 million rupiah for electric cars, 40 million for hybrid cars and 8 juta for electric motorbikes. This is in line with subsidies of the western countries (perhaps het got the idea from his Brussels trip?), perhaps he leaned from their situation and wants to avoid an invasion of cheap Chinese brands.
So in fact we’re not really talking about electric vehicles but electrified vehicles. The demand to produce locally might incentivize players like Toyota to sell more hybrids but for the manufacturers of ‘real’ EV models it is somewhat of an unrealistic showpiece. Setting up a new factory is not something you do in one year, and who guarantees the measures will last? Also look at the situation of Tesla in India, where there is an impasse for creating a new factory, due to disagreements between the company and the government.
However, there are conditions so that electric cars can get incentives. According to the Minister of Industry Agus Gumiwang Kartasasmita, the main requirement for subsidized electric cars is that they must be produced domestically. "Once again, those who get incentives are those who have factories," Agus said in the 2022 End of Year Press Conference & 2023 Industry Outlook Seminar two days ago. He added: “So we’re announcing plans to provide incentives, one of my statements from Brussels is that this is the government's effort to pressure the automotive industry to invest in electric vehicles in Indonesia,"
They're not sure yet about the amounts of the subsidies. However, they expect roughly 80 million rupiah for electric cars, 40 million for hybrid cars and 8 juta for electric motorbikes. This is in line with subsidies of the western countries (perhaps het got the idea from his Brussels trip?), perhaps he leaned from their situation and wants to avoid an invasion of cheap Chinese brands.
So in fact we’re not really talking about electric vehicles but electrified vehicles. The demand to produce locally might incentivize players like Toyota to sell more hybrids but for the manufacturers of ‘real’ EV models it is somewhat of an unrealistic showpiece. Setting up a new factory is not something you do in one year, and who guarantees the measures will last? Also look at the situation of Tesla in India, where there is an impasse for creating a new factory, due to disagreements between the company and the government.
