"We are optimistic that this target will be achieved with support from the supply side, of course, and ensure that it can grow quickly," he remarked at the signing of a memorandum of understanding (MoU) between ION Mobility and PLN here on Wednesday.
To support the achievement of the target, the Ministry of Industry will need to fulfill certain responsibilities on the supply side, while other ministries/institutions, including state-run electricity provider PT PLN, will need to carry out tasks related to the infrastructure, he noted.
Currently, Indonesia has 35 electric motorcycle factories with a production capacity of 1.1 million units per year, and their number is set to increase with Singapore’s ION Mobility planning to also build a factory in Karawang, West Java, the minister noted.
Nevertheless, he said the utility of electric motorcycles is not as high yet because market demand still needs to be built—a task his ministry will pursue.
"Therefore, if the demand for electric motorcycles has developed, I think the industry will also adjust, including the 2 million (units) target production," he added.
Related news: Electric motorcycles can help achieve fuel savings of 60%: Minister
According to the minister, the potential of the electric vehicle market in Indonesia is very vast. Sales of four-wheeled and two-wheeled vehicles have a 1:6 ratio, he added.
With the efforts made by the government and other stakeholders, it is expected that Indonesia will be able to switch from fuel vehicles to electric vehicles, the minister said.
In order to push the acceleration of this transformation, several presidential regulations and instructions have been issued as the basis and concrete evidence of the government's commitment to accelerating the electric vehicle transformation in the country.
The Indonesian government has emphasized its readiness to enter the electric vehicle era through Presidential Regulation Number 55 of 2019 on the use of battery-based electric vehicles for road transportation.
Under the electric vehicle road map, the government is targeting to put 2 million electric vehicles on the country's roads by 2025.
Related news: Indonesia to put six mln e-motorcycles on road by 2025
Related news: ESDM Ministry converts 100 motorbikes into electric bikes
Translator: Sinta Ambarwati, Raka Adji
Editor: Suharto
Copyright © ANTARA 2022
