Electric vehicles can cut down government subsidies’ budget on fuel, according to Deputy Minister I of State-Owned Enterprises Pahala Mansury.

“With people (gradually ceasing to use) fuel-powered vehicles to (adopt) electric vehicles, we can save on government subsidies related to fuel,” Mansury stated at the State-Owned Enterprises International Conference in Nusa Dua, Bali, on Monday.

The deputy minister deemed the development of an electric vehicle ecosystem in Indonesia as important, given that electric vehicles would be able to reduce dependence on fuel, thereby enabling the state to reduce fuel imports and fuel subsidies.

Mansury believed that everyone would stand to benefit if Indonesia could develop an electric vehicle ecosystem.

Transportation Minister Budi Karya Sumadi voiced support for efforts to pursue transition of fossil fuel vehicles to electric vehicles, starting from motorcycles, in line with the target of having two million electric motorcycles in Indonesia by 2025.

He listed three important aspects to be considered and continually improved, comprising the battery quality, expediting development of charging stations or places to replace batteries that can be obtained easily, and the quality of the engines of electric vehicles.

Minister Sumadi assessed that the increasing number of electric motorcycle users would revitalize the earth from air pollution, and it was also expected to assist in reducing fuel energy subsidies as well, the amount for which reached Rp502 trillion.

The minister further remarked that the government had encouraged the adoption through regulations. On the other hand, universities also assisted through research, and industry players also contributed by producing electric vehicles on a massive scale, at more economical prices and with good quality.

Source: Antara News