Ministry Studying Incentives For Electric Car Development

Jakarta (Antara Bali) - The Industry Ministry is evaluating the possibility of offering incentives to develop electric cars, according to director general for transportation metal machinery and electronics industry of the Ministry of Industry I Gusti Putu Suryawirawan.  

"The government has not yet issued a policy on the incentives for electric car development. It is still conducting a study on it," Putu stated in a short text message to Antara here on Friday.

The director general remarked that the production cost of electric cars was high, and hence, a special incentive was needed to develop it. Technologies required to produce an electric car include a charging station, battery, and electric motor.

Putu said Indonesia was viewed to have a good opportunity to develop and sell electric cars as the market in the country was big.

At present, there are four million units of electric cars in the world, and it is expected to reach 10 million in 2020.

In order to have the ability to compete at home, electric cars should be developed in line with market demand.

"Development of electric cars is a target for the automotive market in future. If we do not take anticipatory steps to develop its technology, we will only end up becoming consumers," he emphasized.

Eco-friendly and energy-saving vehicles in the future are those using diesel or petrol engines with alternative fuels (biofuel), gas (CNG or LGV), electric, hybrid, dual fuel (gasoline-gas), and cell fuel (hydrogen).

The director general stated that synergy among various agencies was necessary to conduct research and development as well as to issue regulations on the development of the mentioned technology. (WDY)