What can the G20 Power Utility Companies do to Address the Climate Crisis?

Bali, 29 August 2022 – The electricity sector is one of the biggest emitters after the forest and land use sectors. As the window of opportunity to keep the global temperature at the 1.5 degrees level is getting tighter, the urge to decarbonize the electricity sector is becoming more and more crucial. Power utility companies will be the main driver of the decarbonization effort to reach net zero emissions. 

Philippe Benoit, Adjunct Senior Research Scholar Center on Global Energy Policy, Columbia University, during the seminar “The Role of G20 Power Utilities in Climate Mitigation Effort” hosted by C20, emphasizes the importance to reform state-owned power companies (SPC), realizing its roles as power producers, power purchasers, and network owner/operator to accelerate the energy transition.

“SPCs are multidimensional. When we talk about decarbonization we have to think about SPC as they are the ones who will set the pace of decarbonization,” he said.

Philippe continued that market-based scenarios such as carbon tax, carbon trading, and regulatory pricing can be an instrument to influence SPCs to decarbonize. Moreover, the government can also make resources available to SPCs by supporting them, doing advocacy and directly exercising government shareholder power.

Mahmoud Mohieldin, High-Level COP 27 Champion Egypt, proposed several points to address, including the comprehensive energy policy covering fossil fuel phase-out, energy access and the development of green hydrogen. 

“The budget of the state should reflect the priority of the climate agenda in SDGs development framework.”

On the same occasion, Joojin Kim, Managing Director of Solution for Our Climate (SFOC), South Korea, presented the fact that currently, renewable energy is facing some curtailments in several regions to avoid ‘unsold’ energy.

“Globally, there is a significant increase of renewable capacity but mostly built in either the US or Europe. To keep the balance between supply and demand in electricity, some areas start to apply curtailment to renewable energy,” he said.

Joojin said that this condition is not conducive to reaching the net zero target. To align with the 1.5-degree Celcius pathways, the G20 country must have 75% renewable energy in 2040. According to him both South Korea and Indonesia are not in a good situation to reach that if there is no urgent action taken.

According to Dennis Volk, Head of Division Bundesnetzazagenturn (BNetZa), Germany, political will from the government is the key to decarbonising the electricity sector.

“A strong political commitment is needed to drive the electricity sector to the decarbonization path. The second important thing is the supporting scheme including financing,” said Dennis.

Youngjin Chae, Vice President of Strategy and Planning Korea Power Exchange (KPX), South Korea, explained that currently there are around 19% of renewables in South Korea. Issues related to flexibility, storage, and feasibility are what become a concern as renewable energy is locally concentrated.

Indonesia is planning to achieve carbon neutrality in 2060 or sooner. PLN as the nation’s power utilities company, through its Director of Corporate Planning, Evy Haryadi, said that PLN needs to build 413 GW of power capacity with around 75% renewables and 19 GW of interconnection for net zero in 2060.

“We (PLN) think that at least five major things should be transformed, from the battery storage system, interconnection, green industry cluster, coal retirement mechanism, to new technology development,” Evy concluded.

A couple of serious challenges are faced by countries in developing renewable energy. Considering each situation, every country must figure out the solution as the IPCC has warned that our carbon budget is limited.

“Every country must be able to answer the issue of solving climate change, customer demand for reliable and affordable electricity, workforce needs to upgrade their skills, regulation from the government, and more technology to provide green energy,” Fabby Tumiwa, the Executive Director of IESR concluded.

ASEAN Must Work Together for Energy Transition

Jakarta, 29 July 2022 – Southeast Asia is a strategic area with the second largest economic growth in Asia after China. Southeast Asia is predicted to continue to develop economically. Energy demand is also predicted to continue to rise. With the condition that fossil energy is still abundant in the Southeast Asian region, joint efforts between countries in Southeast Asia are needed to achieve decarbonization without compromising economic growth.

South Korea and China, which are investors in various fossil projects, especially coal-fired power plants in the Southeast Asia region, have committed to no longer finance PLTU projects abroad in 2021. This commitment is expected to be a signal that will lead to more massive renewable energy investment.

Dongjae Oh, program lead for climate finance, Solutions for Our Climate (SFOC) in a webinar entitled “The State of Southeast Asia Energy Transition” stated that South Korea’s commitment to no longer finance coal-fired power plants is indeed quite surprising but there are other things that should be wary of related South Korean investment preferences.

“Despite having withdrawn funding for coal-fired power plants, South Korea continues to invest in the oil and gas sector in Southeast Asia with a value of 10 times, namely $127 billion from coal investment of only $10 billion. Indonesia is the largest recipient of oil and gas investment from South Korea,” Dongjae explained.

Dongjae added that gas is considered by the Korean government as a clean alternative energy for the transition period.

China also announced that it would no longer finance overseas coal projects in September 2021. A number of Chinese foreign and domestic policies have changed since then. Isabella Suarez, a researcher at the Center for Research on Energy and Clean Air, explained that the Chinese government has begun to include a clause on the termination of coal financing in their law.

“A number of local Chinese banks are also starting to state that they will no longer finance coal projects,” Isabella added.

The withdrawal of South Korea and China in financing coal-fired power plants is expected to urge ASEAN countries to develop renewable energy more massively.

Meanwhile, the energy transition situation in several Southeast Asian countries still needs a lot of encouragement and incentives.

Handriyanti Diah Puspitarini, a senior researcher at the Institute for Essential Services Reform (IESR), said that the current state of the energy transition in Indonesia is quite slow and not enough to meet the climate mitigation target to limit global temperature rise to 1.5 degrees.

“If Indonesia doesn’t do something to accelerate the penetration of renewable energy, according to the IESR calculation in 2025 we will only reach 15% renewable energy in the energy mix and 23% in 2030,” explained Handriyanti.

Handriyanti emphasized the importance of the Indonesian government to seek funding models and have consistent political will in Indonesia’s energy transition process, considering that the transition process takes a long time and requires large amounts of funds.

Similar to the situation in Indonesia’s electricity sector, the Philippines is still dominated by fossil energy in its electricity sector. Albert Dalusung, energy transition advisor, Institute for Climate and Sustainable Cities (ICSC) said that the Philippine government is currently focusing on reducing the use of oil in the transportation sector and developing renewable energy.

“The president has stated that renewable energy is at the forefront of the climate agenda, the high price of fossil energy has also made the government change its energy policy,” explained Albert.

Indonesia’s neighboring country, Malaysia, has a target of 31% renewable energy by 2025 and achieves carbon neutral status by 2050. Antony Tan, executive officer (Sustainability & Finance), All Party Parliamentary Group Malaysia on Sustainable Development Goals (APPGM – SDG), stated that currently Malaysia is optimistic that it can achieve this target.

“However, there are things that need to be improved in energy policy in Malaysia, namely the need for a specific ministry of energy and a more holistic policy to design a more sustainable transportation system,” Antony explained.

Indonesia Needs not only Energy Transition, but The Accelerated One

Jakarta, May 31, 2022 – The geopolitical conflicts that have occurred in the last few months have affected a number of global situations, one of which is the condition of energy supply. European Union countries that feel the impact of the disruption in energy supply have begun to look for various alternatives, both in the short and long term. As a long-term solution, the European Union issued a new energy policy entitled “REpower EU”. Under this policy, the European Union plans to increase its renewable energy capacity to 740 GWdc by 2030 to reduce their dependence on Russia’s fossil energy and ensure its energy security.

Fabby Tumiwa, Executive Director of IESR, at the MGN Media Summit on Tuesday, May 31, 2022, stated that the current global geopolitical situation is indeed not favorable for the energy transition not only in Indonesia but in various countries in the world. However, after several months of ongoing geopolitical tensions, a number of countries have begun to use this momentum to break away from dependence on fossil energy and accelerate their renewable energy. Indonesia should also be able to do the same thing for instance by ensuring that the regulations made to support the acceleration of renewable energy such as the Minister of Energy and Mineral Resources Decree number 26/2021 are implemented.

“The weakness of this country is that the plan has been made but its implementation and enforcement is still weak, for example the Minister of Energy and Mineral Resources Regulation 26/2021 regarding rooftop PV,” Fabby explained.

Fabby explained that the MEMR Ministerial Regulation number 26/2021 had not yet been implemented by PLN because several issues were still hampered, one of which was the Ministry of Finance’s compensation for PLN, whose regulations had not yet been made.

“Then maybe the DPR RI can summon the Minister of Finance and the Minister of Energy and Mineral Resources to explain the situation and ask them to immediately design a compensation scheme for PLN,” he added.

The energy transition situation in Indonesia itself is not very encouraging. Having a renewables mix target of 23% in 2025, data from the Ministry of Energy and Mineral Resources in February 2022 shows that the target has only been achieved around 11.5%. Sugeng Suparwoto, Chairman of Commission VII DPR RI which handles energy, admitted that it was difficult to pursue the renewable energy mix target, but that did not mean it was impossible.

“I have to admit this is hard, but with our extra hard work together, I am still optimistic that we can achieve it,” explained Sugeng.

PLN as a key actor, especially in accelerating renewable energy, stated that apart from providing energy, the demand side for energy must also be ensured.

“We also need to ensure that the demand for renewable energy is available. PLN itself will rely heavily on existing technology to pursue net-zero emission (NZE) and energy mix targets,” Cita Dewi, EVP Planning & Engineering for EBT at PT PLN (Persero), explained.

Cita added that his party cannot work alone to execute the acceleration of renewable energy on its own. It takes collaboration of various parties to ensure this energy transition runs.

Daniel Purba, Senior Vice President, Strategy & Investment, PT Pertamina (Persero) stated that our fossil reserves are not as large as they used to be. In terms of consumption, even though at this time fossils still dominate, in the future it will definitely change.

“Even though now, for example, fuel dominates people’s consumption, in the future electric vehicles and alternative fuels such as hydrogen will be widely used,” he said.

With this phenomenon, corporations have a need to diversify and even transform their business so that the company can be sustainable, and gain the trust of both investors and consumers.

“Pertamina itself has started to diversify its business by starting to develop hydrogen and using solar power in our operational offices,” added Daniel.

Highlighting energy policy in Indonesia, Djoko Siswanto, Secretary General of the National Energy Council, stated that Indonesia has quite complete policy instruments, starting from road maps, targets, and plans. However, according to him, it is important to measure whether we are on the right path of the various policy instruments that exist in Indonesia and if Indonesia energy security is resilient.

“Various policy schemes that currently exist put our energy security index in the ‘resistant’ category. We haven’t been able to reach the ‘very resilient’ category because of several things, including our energy (oil) imports are still high, our energy infrastructure (grid) still needs to be improved, and our NRE mix is ​​still low,” Djoko explained.

Djoko added that the government needs to resolve these issues to ensure Indonesia’s energy security and to reduce GHG emissions from the energy sector. In this way, Indonesia’s commitments to various international agreements are fulfilled.

Approved! The New Revised Solar Rooftop Regulation Targets the development of 3.6 GW of Rooftop Solar by 2025

The issue of government policies of the Minister of Energy and Mineral Resources Regulation No. 49/2018 in terms of rooftop solar in Indonesia since 2018 has proven to have increased the adoption of PV mini-grid roofs from initially only 609 customers in 2018 to 4,262 customers in 2021. In 2021, the Minister of Energy and Mineral Resources (MEMR) revised regulation No. 49/2018 to  Regulation No. 26 of 2021.

“The implementation of the MEMR Regulation No. 26 of 2021 is expected to boost the development of the rooftop solar PV market, especially with the stipulation of a target of 3.6 GW of rooftop solar power in the National Strategic Project (PSN),” said Fabby Tumiwa, Executive Director of the Institute for Essential Services Reform (IESR) in the Indonesia Solar Week 2022 (10/2/2022). He is also the Chairman of the Indonesian Solar Energy Association (AESI).

The MEMR Regulation No. 26 of 2021 is the third revision of MEMR No. 49/2018. The Minister of Energy and Mineral Resources Regulation No. 26 of 2021 has been issued since August 20, 2021. After experiencing a delay in ministerial approval finally, it was agreed to be implemented on January 18, 2022. The following is a comparison of the improvement in the provisions of the three MEMR Regulations:

Revision

Rooftop Solar MEMR Regulation

No. 49/2018No. 16/2019No. 26/ 2021
Electricity export65%As in MEMR Ministerial Regulation No.49/2018100%
Availability of export-import kWh metersMax. 15 business days after SLO (Operation Worthiness Certificate) received by PLNMax. 15 business days after SLO (Operation Worthiness Certificate) received by PLN
Period for setoff of the unused creditMax. 3 months6 months
Timeline for solar rooftop ApplicationMax.15 days5 business days without an adjustment to the Electricity Sale and Purchase Agreement (PJBL) and 12 days with an adjustment to the PJBL
CostumerOnly PLN’s CustomerPLN customers and customers in non-PLN Business Areas (IUPTLU holders).
Industrial CustomerSubject to capacity charge and emergency electricity purchase
with the formula:

Capacity cost = total inverter capacity (kW) x 40
(minimum load limit of electricity in one month) hours x electricity tariff. then multiplied by the electricity tariff.
Subject to capacity charge with
formula :

Capacity cost = total inverter capacity (kW) x 5
(five) hours x electricity tariff.
Subject to capacity charge with
formula :

Capacity cost = total inverter capacity (kW) x 5
(five) hours x electricity tariff.
Online reportingNANAAvailability of submitting the application, reports , and supervision of the solar rooftop program;
Complaint CenterNANAAvailable
Othersthe possibility for trading carbon credits generated from solar PV systems

The government hopes that the improvement of the rooftop solar regulation will encourage the achievement of the target of 3.6 GW of PV mini-grid by 2025. The target of 3.6 GW of rooftop solar is the MEMR proposal that is included in the National Strategic Project as stated in the Coordinating Ministry for Economic Affairs Regulation No. 7 of 2021. The potential positive impacts of the projected growth of 3.6 GW Rooftop PLTS include absorbing 121,500 workers and reducing Greenhouse Gas (GHG) emissions by 4.58 Million Tons of CO2e.

As part of the implementation of the MEMR Ministerial Regulation No. 26/202, Fabby encouraged the government to immediately establish a solar rooftop Customer Center per article 26 of the MEMR Ministerial Regulation. In addition, Fabby hopes that the solar rooftop application process and permits are clear and concise following the latest provisions. On the other hand, problems that are often faced by potential customers such as the length of time to obtain an Exim meter can also be overcome, thereby increasing the installation of rooftop solar power plants in the future.

PLN Should Follow Global Transformation to a Cleaner Energy

Kendari, 7 February 2022 – The world is facing major changes in response to the increase in the earth’s temperature which has increased by 1.1 degrees Celsius since the pre-industrial era. Various global commitments have been agreed to limit the increase in the earth’s temperature to no more than 2 degrees Celsius by the middle of this century. The rise of the global temperature is caused by carbon emissions produced by burning fossil fuels, one of which is in the energy sector.

Indonesia is committed to reducing its emissions by 29% with its own efforts and 41% with foreign assistance, and achieving net-zero emissions by 2060 or sooner.

Dr. Kuntoro Mangkusubroto, senior energy observer, during the “Seminar Pertambangan” – mining seminar, celebrating Indonesia’s National Press Day, said that the energy sector plays a crucial role in reducing greenhouse gas emissions.

“But keep in mind, it doesn’t mean that the net-zero emission issue will only become a burden for PLN because it is related to energy issues. It needs collaboration from various parties to ensure that the 2060 target is achieved,” he concluded, ending his keynote speech.

PLN has a big role in creating a market for renewable energy. To achieve the target of renewable energy, the involvement of the private sector is needed. Therefore, policies and a conducive investment climate need to be orchestrated.

Dadan Kusdiana, Director General of EBTKE at the Ministry of Energy and Mineral Resources said that Indonesia is still aligned and on track to meet the international agreement commitments, but there are options for various accelerations.

“We have compiled a national roadmap to achieve net-zero emissions by 2060, and we keep looking for possible options to accelerate existing targets,” he stressed.

Specifically from the electricity sector, Evy Haryadi, Director of Corporate Planning at PLN, stated that his party was currently in a dilemma. On one hand, currently available power plants at affordable prices are fossil generators (coal power) that produce high emissions, replacing them with renewable energy plants requires a huge investment.

“We see a declining trend in electricity prices from renewable energy such as solar and wind currently ranging from 18-21 cents per kWh, compared to coal (6-8 cents/kWh) for now electricity from renewable energy is still more expensive.”

Fabby Tumiwa, Executive Director of the Institute for Essential Services Reform (IESR), reminded that PLN needs to be careful in looking at investment trends in the electricity sector. The commercial and industrial sectors make clean energy the main need and prerequisite for investing in a country.

“Coal-fired power plants are not the cheapest power plants. Government subsidies through the DMO (Domestic Market Obligation) scheme keep coal prices at USD 70/ton, making the price of electricity from PLTU look cheap. Even though the price of coal in the market currently reaches USD 150/ton,” he explained.

Fabby continued, if the coal price of USD 150/ton is transferred to PLTU, the cost of electricity generation will increase by 32% – 61%.

Energy system disruption is happening all over the world. To ensure the reliability, affordability and sustainability of Indonesia’s energy system, PLN must carry out a transformation. This transformation will also reduce the risk of stranded assets for PLN and IPP (Independent Power Producer). As technology develops, it is estimated that in the next few years the cost of installing solar PV and batteries will be cheaper than the operating costs of a coal-fired power plant.

To achieve the common goal of achieving net-zero emissions by 2060 or sooner, increasing the capacity of renewable energy must be carried out. The currently operating coal power plant needs to be managed wisely and gradually reduced. The Indonesian government’s plan to phase down 9.2 GW of coal-fired power plants through the Energy Transition Mechanism scheme is the right step, but the government has the opportunity to take more aggressive steps.

Indonesia Needs Inter-island Electricity Interconnection for 100 Percent Renewable Energy Development

Jakarta, 26 January 2022 – The energy sector which is dominated by fossil energy accounts for ⅔ of global emissions. In order to reduce greenhouse gas (GHG) emissions exponentially, massive use of renewable energy is an important thing to do. One of the efforts to empower 100 percent of the technical potential of renewable energy, which is widely spread across all provinces in Indonesia, is the construction of an interconnection of the archipelago’s electricity network. 

Jisman Hutajulu, Director of Electricity Program Development at the Ministry of Energy and Mineral Resources, in the HK Experts webinar (26/1/2022), stated that the government through the Ministry of Energy and Mineral Resources has plans to connect the grid system between islands in Indonesia.

“This is to support the 2060 net-zero emission plan. One of the things we want to encourage is the use of NRE, but many NRE sources are far from the many demand sources in Java. So we have to transmit that energy to our load center,” Jisman explained.

Jisman said that his party encouraged PLN to complete interconnections within major islands in Indonesia, which is expected to be fully completed in 2024, later to be connected between islands gradually.

Jisman admits that building this transmission system takes a lot of investment. So the ministry is making a study about priority, to analyze and determine which transmission will be built first. Furthermore, Jisman also mentioned the potential inclusion of this transmission development plan in the Problem Inventory Draft (DIM) of the NRE Bill to ensure the priority of the work.

On the same occasion, Fabby Tumiwa, Executive Director of IESR, believes that this interconnection system should be seen as an investment, not a burden from the choice of shifting to clean energy.

“According to IESR, Indonesia has abundant renewable energy potential. For solar alone, the potential can reach 7,700 GW with the largest potential based on land suitability, located in East Kalimantan, Central Kalimantan, and South Kalimantan,” said Fabby. 

Fabby also revealed that the initial investment needed for grid interconnection development until 2030 is still relatively small, around USD 3.3 billion because there is no inter-island integration yet. However, the required investment will increase in 2040 and 2050, respectively at USD 34.8 billion and USD 53.9 billion.

Other benefits that Indonesia can enjoy from inter-island grid interconnection include increased reliability and concentrated power reserves.

“For instance, excessive power reserves in Sumatra can be sent to Bangka, and vice versa,” said Fabby.

In addition, an integrated inter-island network can reduce investment requirements for developing new power generation. According to him again, the interconnection of the grid will create a diversity of generation mix and supply security, which is different from fossil energy systems that only come from one energy source. Furthermore, Fabby explained that if this interconnection system is already running, the cost of generating renewable energy will decrease by 18% – 46% by 2030. 

Overseeing the Indonesia Government’s Strategy in Energy Transition in 2022

press release

Jakarta, 18 January 2022 Entering 2022, the Ministry of Energy and Mineral Resources shared Indonesia’s energy transition strategy in the “Press Conference on 2021 Performance Achievements and the 2022 Work Plan for Energy and Mineral Resources and the EBTKE Subsector”. The Institute for Essential Services Reform (IESR) views that even though the direction of the energy transition is becoming more evident, it is crucial to speed up the energy transition to reduce GHG emissions and align with Paris Agreement pathways to limit the earth temperature well below 1.5 degree Celsius. Moreover, some overlapping strategies need to develop in a more focused roadmap, such as Dimethyl Ether (DME) utilization, gas grids, and induction cooktops to meet household energy needs.

In the 2021-2030 Energy Transition Roadmap, the government focuses on new and renewable energy power plants’ construction which reach 20.9 GW, while the solar rooftop is targeted at 3.6 GW. The solar rooftop construction will be massive in 2031-2050 with a total amount of 279.2 GW.

Based on the IESR study entitled “Deep Decarbonization of Indonesia’s Energy System”, the construction of renewable energy power plants should be accelerated in the 2021-2030 period to achieve the renewable energy mix target, and reach peak emissions in the electricity sector before 2030. In addition, there is a need for at least a 14-fold increase in the total renewable energy capacity in 2020, with around 117 GW coming from solar rooftops and 23 GW from other renewable energy plants.

The government’s report on the achievement of new and renewable energy power generation capacity until 2021 reaches 11,152 MW. Fabby Tumiwa, Executive Director of IESR, feels that the target for adding renewable energy generating capacity has always been below the government’s target since 2019 and is not on track with the renewable energy mix target of 24 GW by 2025.

“The reasons for the low obtainment of renewable energy plants are structural. For instance, the Minister of Energy and Mineral Resources No. 50/2017 makes renewable energy projects unbankable, PLN does not carry out the regular and on schedule basis of the procurement of renewable energy plants, the lack of competitive domestic financing support, and the delay in project realization due to the pandemic,” said Fabby Tumiwa, Executive Director IESR.

Highlighting the investment target for the new and renewable energy sector in 2022, the government has set an investment entry of USD 3.9 billion, up 2.6 times from the previous investment achievement of USD 1.51 billion in 2021. Deon Arinaldo, Program Manager of Energy Transformation, IESR, thought that although the target has almost tripled, it is a small amount to fund efforts to decarbonize Indonesia’s energy system.

“Based on the study of the Indonesia Energy Transition Outlook 2022, investment in renewable energy for the electricity sector alone requires  11.1 billion USD per year for the next decade. Several renewable energy policies and regulations that should have been released last year, need to be finalized immediately to increase investor confidence and the renewable energy investment climate. Renewable energy investments outside of PLN’s RUPTL (National Electricity Supply Business Plan), such as solar rooftop, also need to be fully supported to attract investment from the beginning of this year, “added Deon.

Furthermore, the government’s strategy to maintain fossil energy subsidies will slow down the pace of energy transition in Indonesia. As well as increasing the burden on the state, it is also an easy trap for Indonesia to get into the fossil energy crisis.

“Reflecting on the coal energy crisis earlier this year, it can be seen that the use of fossil energy such as coal and subsidized support (in the form of DMO) also does not guarantee the country’s energy security, but instead creates distortions in the price of electricity generation. The price of electricity generation from coal-fired power plants looks cheaper than it should be and does not create a level playing field for renewable energy,” said Deon.

The government’s strategy to accelerate the national energy transition is constrained by the fact that the Minister of Finance has not yet approved the Draft Presidential Decree for the Purchase of Renewable Energy. Deon believes that there needs to be strategic coordination between ministries to support the acceleration of achieving the carbon-neutral target so that regulatory support that is considered critical should be issued immediately and run effectively.

“Apart from issuing regulations, effective implementation is important, but this is the opposite. For example, Ministerial Regulation 26/2021 regarding rooftop solar power plants, which should be able to support the achievement of the 900 MW rooftop solar power plant target in 2022 according to the MEMR target, however, was delayed earlier this year,” said Deon.

Besides the regulatory perspective, IESR sees the synergy of inter-ministerial carbon neutral targets as important. Reviewing the targets and realization of electric vehicles in 2022, the Indonesia Energy Transition Outlook 2022 found two different targets in the two ministries. The Ministry of Industry plans to produce 750,000 units of LCEV (low carbon emission vehicle), consisting of electric cars and 2.45 million units of electric motorcycles by 2030. Meanwhile, the Ministry of Energy and Mineral Resources (ESDM) targets 2 million cars, electric vehicles and 13 million electric motorcycles by 2030. Different targets and roadmaps in the development of electric vehicles will make it difficult to see a coherent and consistent effort by the government to increase the penetration of electric vehicles in the country.

“An integrated and well-designed national electric vehicle roadmap must be created. Alignment between the electric vehicle (EV) roadmap of the Ministry of Industry and the Ministry of Energy and Mineral Resources, for example, will increase the confidence of EV players. It also will maximize economic benefits for Indonesia in the form of an industrial value chain formed from the transition process from internal combustion engine (ICE) vehicles to EVs,” closed Deon.