Policy Optimization to Support Domestic Industry Readiness for the Entry of Electric Vehicles in Indonesia

YODHA RESWARA A, Phil. Gabriel Lele, Dr., SIP, M.Si.

2021 | Skripsi | S1 MANAJEMEN DAN KEBIJAKAN PUBLIK

Transportation sectors are necessary in today's society and contribute significantly to global economic progress. The problems produced by transportation, such as excessive oil consumption, air pollution, and greenhouse gas emissions will be more problematic in the future as socioeconomic development and improvement of living standard. To address these issues, many countries' automotive manufacturers and stakeholders have prioritized the development of fuel-efficient and alternative-fuel vehicles, particularly electric vehicles. Meanwhile, one key factor that still bounded the adoption of electric vehicles is the market demand heavily reliant on private users' acceptance and willingness to adapt to new behavior. The Government of Indonesia is highly committed to develop the electric vehicles. This effort is supported by the regulation which already issued on the Presidential Regulation No. 55 of 2019 which concern on the Acceleration of the Battery-Based Electric Motorized Vehicle Program for Road Transportation. The Presidential Regulation has been passed in 2019 and it became the basis for automotive industry in Indonesia to immediately establish and encourage the development of electric vehicles in Indonesia. However, this regulation has not been able to provide a significant increase in the use of electric vehicles and infrastructure readiness. Currently, Indonesia is still in the development stage and must prepare a more mature scheme to support the domestic industry. This study describes the challenges and the assessment of the government's achievements, to recommendation in the development of electric vehicles in Indonesia.

Transportation sectors are necessary in today's society and contribute significantly to global economic progress. The problems produced by transportation, such as excessive oil consumption, air pollution, and greenhouse gas emissions will be more problematic in the future as socioeconomic development and improvement of living standard. To address these issues, many countries' automotive manufacturers and stakeholders have prioritized the development of fuel-efficient and alternative-fuel vehicles, particularly electric vehicles. Meanwhile, one key factor that still bounded the adoption of electric vehicles is the market demand heavily reliant on private users' acceptance and willingness to adapt to new behavior. The Government of Indonesia is highly committed to develop the electric vehicles. This effort is supported by the regulation which already issued on the Presidential Regulation No. 55 of 2019 which concern on the Acceleration of the Battery-Based Electric Motorized Vehicle Program for Road Transportation. The Presidential Regulation has been passed in 2019 and it became the basis for automotive industry in Indonesia to immediately establish and encourage the development of electric vehicles in Indonesia. However, this regulation has not been able to provide a significant increase in the use of electric vehicles and infrastructure readiness. Currently, Indonesia is still in the development stage and must prepare a more mature scheme to support the domestic industry. This study describes the challenges and the assessment of the government's achievements, to recommendation in the development of electric vehicles in Indonesia.

Kata Kunci : Electric Vehicles, Policy Implementation, Technological Innovation