Saturday 2 December 2023

Through COP 28 Dubai, Indonesia Sets Out Production Targets of 2 Million EV Passenger Cars and 13 Million Electric Motorcycles


In the 2023 United Nations Climate Change Summit or Conference of the Parties 28 (COP 28) in Dubai, United Arab Emirates (UAE), Friday (1/12/2023), the Coordinating Ministry for Maritime Affairs and Investment (Kemenko Marves ) also appeared as one of the speakers.

Quoted from the Antara news agency, the Coordinating Ministry for Maritime Affairs and Investment (Kemenko Marves) highlighted the role of Indonesia which is currently building an electric vehicle (EV) supply chain.

Rachmat Kaimuddin, Deputy for Infrastructure and Transportation Coordination at the Coordinating Ministry for Maritime Affairs and Fisheries, said Indonesia is in a strategic position to build a strong global EV supply chain. In line with the global trend of decarbonization of the transportation industry to meet net zero commitments.

“With abundant nickel resources, Indonesia has the power to boost the global supply of electric vehicles and shape a more environmentally friendly future, but at the same time Indonesia must take advantage of this great opportunity to switch the combustion engine automotive industry to electricity,” explained Rachmat Kaimuddin, as quoted from the official release.

Workers assemble Gesits electric motorbikes at the PT Wika Industri Manufaktur (WIMA) factory, Cileungsi, Bogor Regency, West Java, Wednesday (27/10/2021) [ANTARA FOTO/Aditya Pradana Putra/wsj] Along with the soaring global demand for vehicles In recent years, Indonesia has encouraged the adoption of electric vehicles in the domestic market. Also attracting more investment to increase electric vehicle production capacity in Indonesia.

Indonesia targets to have 2 million electric passenger cars and 13 million electric bicycles on the road by 2030.

To achieve this target, the government has launched fiscal and non-fiscal incentives for consumers and producers. One form of incentive is a discount of IDR 7 million (equivalent to 450 United States or US dollars) for all Indonesians who want to buy a new electric bicycle that contains 40 percent local components.

Currently the government is working to make Indonesia a production base for environmentally friendly vehicles in Southeast Asia, as well as supplying the domestic market with a wider choice of EV vehicles.

“We need to create demand and good infrastructure. “We know that currently there are not enough choices (for consumers),” added Rachmat Kaimuddin.

The Indonesian Pavilion at COP 28, Dubai, discussed some of the most pressing challenges in increasing the global supply of critical minerals. While realizing sustainable and responsible business practices throughout the supply chain.

Also present in the discussion were CEO of Pertamina New Renewable Energy Dannif Danusaputro, Head of Metals & Minerals Bloomberg NEF Dr. Kwazi Ampofo, CEO & President Director of PT Bank HSBC Indonesia Francois de Maricourt, and General Chair of the Indonesian Chamber of Commerce and Industry Coordinator for Maritime, Investment and Foreign Affairs Shinta Kamdani.

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