Indonesia is making a big push for cleaner cars and transportation. The government’s new “green mobility” policy aims to boost the automotive industry while protecting the planet.
Industry Minister Agus Gumiwang Kartasasmita said the plan is aimed at supporting cleaner and smarter cars.
“We will support the development of automotive technology and work to promote its policies through the green mobility concept,” he said.
Indonesia’s goal is to use energy more rationally, reduce pollution, and help people get around more conveniently.
“As long as investments in the automotive industry can produce more environmentally friendly car products, use energy efficiently, and support community mobility, we will support them through the green mobility policy,” Kartasasmita added.
To promote the success of green mobility, the government is providing special support and tax breaks. Electric vehicles, hybrid vehicles, and biofuel vehicles are all eligible for incentives. Low-cost green cars (LCGC) are also part of the plan. The government is even considering hydrogen fuel cell vehicles as another clean energy option.
At the same time, Indonesia hopes to use local natural resources to build a local electric vehicle battery industry. This will make it easier for car companies to get the parts they need and boost local economic growth.
“We will also continue to protect our existing automotive investments in Indonesia,” said Katasamita.
This means that as long as new and existing car companies focus on producing cleaner cars, the government will help them.
Minister Katasamita said that there is still a lot of room for growth in the Indonesian automotive market. Currently, Indonesia’s per capita car ownership is low compared to other countries. By 2024, although Indonesia’s population has reached 281 million, there will be only 99 cars per thousand people.
In comparison, Malaysia, with a population of only 35 million, has 490 cars per thousand people, Thailand has 275 cars per thousand people, Singapore has 211 cars per thousand people, South Korea has 530 cars per thousand people, and Japan has the most, with 670 cars per thousand people.
The green travel plan is also part of Indonesia’s goal of achieving net zero emissions in the manufacturing industry by 2050. This means reducing pollution and protecting the environment in general.
“The green mobility policy will make the national automotive industry more adaptable and sustainable,” Katasamita said.
“It will also achieve efficient energy use, support population mobility, and protect Indonesia’s automotive investments.”
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