Jakarta (ANTARA) - The Indonesian government is planning to boost the production of battery-based electric cars (BEV) to 600 thousand units and electric motorcycles to 2.45 million units by 2030.

"Electric vehicle production is expected to reduce CO2 emissions by some 2.7 million tons from electric cars and 1.1 million tons from electric motorbikes," Industry Minister Agus Gumiwang Kartasasmita said at an online discussion here on Friday.

As part of efforts to boost BEV industrialization, the government has provided fiscal as well as non-fiscal incentives, including zero-percent sales tax on luxury goods (PPnBM) and zero percent vehicle ownership transfer fee (BBNKB) for electric vehicle consumers in Jakarta, the minister informed.

Meanwhile, BBNKB for electric car is set at 10 percent and for electric motorcycle at 2.5 percent in West Java, with zero percent down payment on sales orders, he said.

The BEV industry could benefit from government incentives such as tax holidays or mini tax holidays, tax allowances, and super tax deductions for research and development, Kartasasmita said.

To promote the use of electric vehicles, the government will issue a roadmap for electric vehicle use in state institutions, he informed.

"Under the roadmap, electric vehicle sales are expected to reach 132,983 units of cars and 398,530 units for motorcycles by 2030," Kartasasmita said.

Related news: Electric vehicles program to expedite green energy transition
Related news: BPPT builds fast-charging prototype stations for electric vehicles

Translator: Sella P Gareta, Sri Haryati
Editor: Suharto
Copyright © ANTARA 2021