Indonesia prepares regulation for electric cars

Indonesia's National Energy Council (DEN) said the Ministry of Energy and Mineral Resources is currently drafting a Presidential Regulation plan to accelerate the development of electric cars. The regulation is also to encourage deeper adoption of renewable energy and reduce CO2 pollution significantly when it is maximized by the wider community in reducing greenhouse gas emissions under the Paris Agreement.

Tinuku Indonesia prepares regulation for electric cars

"The electric car will be one of the renewable energy powers, the market must also encourage, but all the government must participate," said DEN Member Abadi Poernomo in Jakarta on Friday.

In the press release the Ministry of Energy and Mineral Resources will look for the right battery technology to realize the scheme of electric car development in Indonesia more concretely. The Government considers the exchangeable battery technology at the general fuel filling station.

"We're looking at the battery as the most important part of this context: Batteries that are already used and exchanged for a fully charged battery at each charging station," said Deputy Minister of Energy Resources Mineral, Arcandra Tahar.

Arcandra said tax discounts for electric cars are expected to accelerate the auto industry to develop electric cars. The government says it is ready to provide regulatory stimulus if it is needed to drive future manufacturing-related developments.

"Tax relaxation at the Ministry of Finance, we are pushing the electric car industry once it is done because the world trend has grown, while we have nothing," Tahar said.

Tahar earlier said the government program in mass transportation and electric cars are efforts to encourage the fulfillment of Indonesia's commitment to reduce greenhouse gas effects under the Paris Agreement.

"This is the first step," Tahar said.