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ESDM Ministry Predicts Electric Vehicle Users to Save Rp2.77 Million a Year

Translator

Mahinda Arkyasa

6 March 2023 23:59 WIB

TEMPO.CO, Jakarta - Secretary General of the Ministry of Energy and Mineral Resources (ESDM) Rida Mulyana, said that the use of electric vehicles will provide positive effects not only to its users but also to reduce the energy subsidy currently borne by the government. The ESDM, according to Rida, has made calculations on the number of savings that can be obtained by electric motorcycle users.

"Based on our calculations, Rp2.77 million can be saved by users [for fuel budget] every year," Rida said during a press conference on Monday, March 6, 2023. "For the government, there are savings in the energy subsidy budget," Rida added.

The ESDM Ministry, Rida said, confirmed ready to channel incentives for electric vehicles through the vehicle conversion program. Conversion into electric vehicles is said to create a more efficient environment for EV.

Another benefit, Rida said, is higher absorption of electricity and higher energy consumption predicted to reach 15.2 GWH annually. "And because we use lesser fuel, emissions are also reduced. We predicted [emission to be reduced] by 0.03 million tons by using an electric motorcycle," Rida explained.

Furthermore, Rida explained several requirements for motorcycles to be eligible for conversion. The first requirement is the motorcycle is still roadworthy. The second requirement is that the engine capacity must start from 110cc and must not exceed 150cc. The third requirement is that the motorcycle ownership documents is valid.

"The main point is, the motorcycle is legal," Rida said.

The government has officially announced the policy to provide incentives for electric vehicles, especially motorcycles. The amount of incentive will be Rp7 million (seven million Rupiah) for each purchase of a new electric motorcycle and conversion. The incentive will be channeled by the Ministry of ESDN for every conversion and through the Ministry of Industry for the purchase of a new electric motorcycle.

RIRI RAHAYU

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