Home » Business » ALVA’s Reaction to Government’s Denial of ‘Subsidies’ for Electric Motorbikes

ALVA’s Reaction to Government’s Denial of ‘Subsidies’ for Electric Motorbikes

Jakarta

PT Electra Mobilitas Indonesia (EMI) as the producer ALVA electric motor in Indonesia opened their voices after not receiving assistance or ‘subsidies’ from the government. EMI is sure that sales of its electrification products will remain high even though it has not yet received a ‘subsidized’ share.

Septriwan Rahmat as the Main Director of PT EMI said, even though ALVA sales were successful without subsidies, that did not mean that his party was not trying to meet local content limits or TKDN. Because, he said, it can provide benefits to consumers.

“From our side, whether there are government incentives or not, we will continue to try to make it easier for our consumers. But for this incentive, we will try, because this includes providing benefits for consumers,” Rahmat said when met at Senayan, Central Jakarta, Tuesday afternoon (28/3/2023) yesterday.

“So we will progressively continue to increase the TKDN (level of domestic components) of our motorbikes,” he added.

ALVA One electric motor. Photo: Septian Farhan Nurhuda / detik.com

Currently, ALVA only has one model of electric motorbike being sold in Indonesia, namely ALVA One. This futuristic-style vehicle was launched at the Gaikindo Indonesia Auto Show or GIIAS 2022 exhibition.

Rahmat claims, with the existing products, plus a long and mature market strategy, sales of ALVA electric motorbikes will definitely grow. Meanwhile, according to him, the TKDN will automatically increase.

“We are already pretty solid with our market strategy with existing segments, as well as our long-term industrialization strategy. So we automatically believe that TKDN will go in that direction. If given an incentive, we will definitely be very happy because it provides benefits for consumers,” he explained.

ALVA One electric motor. Photo: Grandyos Zafna

Unfortunately, when asked about the TKDN number for the ALVA electric motorbike, Rahmat could not reveal it. However, he ensured, the number will continue to grow.

“About that (TKDN for ALVA electric motorbikes), be patient first,” he said.

It is known, the government through the Ministry of Finance had previously announced the amount of assistance for the purchase of electric motorbikes, namely IDR 7 million per unit. However, only electric motorbikes with a minimum TKDN of 40 percent are entitled to this assistance.

Currently, there are only three brands that have confirmed that they meet these requirements, namely Gesits, Volta and Selis.

Watch VideoALVA One Electric Motor Made in RI, How Many Local Components?

(sfn/lth)

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.