Jakarta, CNBC Indonesia – Even though Bank Indonesia (BI) lowered the minimum down payment (down payment/DP) from 5% -10% to 0% for the purchase of electric motorbikes and cars, apparently this is not very attractive to most Indonesians.
Secretary General of the Association of Indonesian Automotive Industries (Gaikindo) Kukuh Kumara said that people’s purchasing power and the unreached price of electric cars are the main factors for electric vehicles that have not been of interest to many Indonesians.
“One, the price is expensive. Then people also need to know the reach of an electric car, how far it can walk. Then the infrastructure, where is the charging,” said Kukuh when contacted by CNBC Indonesia on Sunday (4/10/2020).
According to Kukuh, people who are just buying for the first time (first time buyer) electric cars will think about many considerations, one of which is the price and location of electric charging, which not all regions in Indonesia have.
The price of the cheapest electric car is still around Rp. 500-600 million. While the majority of 80-90% of Indonesians who are consumers of four-wheeled motorized vehicles only buy cars with prices of IDR 300 million and below.
Furthermore, Kukuh explained that the shift to using electric cars will be the same as in the era of changing cars from manual transmission ke automatic transmission which takes quite a while.
“The analogy is like that. It will still take a lot of time to switch to an electric car,” he added.
According to Gaikindo’s records, the population of electric cars in Indonesia is still relatively very low. There are less than 30 electric cars in Indonesia by 2020.
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