VOI - Voice of Indonesia | RRI - Radio Republik Indonesia

The government is determined to accelerate the development of electric vehicles in Indonesia. One of the strategic steps, the Ministry of Industry seeks to socialize the regulatory readiness that will soon be published to the automotive industry in Japan.

"Regarding the potential implementation of the acceleration of the electric vehicle and PPnBM facilities being compiled by the government, we communicate with the automotive industry here," said Minister of Industry Airlangga Hartarto after meeting with the board of directors of Toyota Motor Corporation in Tokyo on Wednesday night (29/5 ) local time.

The Minister of Industry conveyed, the regulations that would be issued by the Indonesian government regarding electric vehicles, would later be given a two-year deadline or transition period. "Therefore, we hope that the automotive industry players in Japan can begin to realize it in 2021 or 2022," he said. On the same occasion, Deputy CEO of Toyota Corp. Susumu Matsuda said, in an effort to market electric vehicles, it would also focus on developing its technology in Indonesia. "This is to provide the main service to our consumers, according to the corporate culture, so that they are practically using electric vehicles," he said.

Toyota and Daihatsu will produce hybrid cars in Indonesia in 2022. Types include SUVs and MPVs. "We consider that both types will be more attractive to consumers in Indonesia. We are preparing for production, "Matsuda said.

Toyota gave an appreciation to the Ministry of Industry for the implementation of electric car studies with stakeholders including collaborating with universities. "The results of the study, that hybrid cars can reduce gasoline consumption by half. "This is one of the solutions that is quite realistic," he added.

Appreciate

Other important points from the results of this meeting, continued Airlangga, Toyota gave appreciation to the Indonesian Government which has successfully held the 2019 General Election and was able to maintain a conducive investment climate. "They also expressed their commitment to the development of the automotive industry in Indonesia," he said.  With the capabilities that Indonesia already has, according to the Minister of Industry, a number of global scale automotive manufacturers are planning to prepare for the launch of electric vehicles in Indonesia in the near future.

"In fact, with the policy that will be issued by the government, it is enough to compensate for the difference in prices between electric vehicles and existing internal combustion engine (ICE) vehicles," he added.

The price difference is believed to be able to encourage some consumers to switch from previously using oil-fueled vehicles to electric vehicles. Because, there will be benefits for users of electric vehicles, especially the efficiency of gasoline consumption.

"Moreover, there is a hybrid car that saves 50 percent. In addition, there is ease of maintenance from electric-based vehicles, "he said.

The Minister of Industry also visited the EVE battery factory in Hamamatsu. From the visit, Airlangga saw that Indonesia had great potential in providing its raw materials. Because, Indonesia will have a factory that produces new energy materials from laterite nickel. The potential is for example through the investment of PT. QMB New Energy Materials in the Indonesian region of Morowali Industrial Park (IMIP), Central Sulawesi, which is targeted to operate in mid-2020. The total investment invested is USD700 million and will generate foreign exchange worth USD800 million per year.

"The hydrometallurgy technology-based industrial smelter project will meet the needs of raw materials for second generation nickel cobalt lithium batteries which can be used for electric vehicles," he explained. (kemenperin)