Indonesia’s EV battery industry faces uncertainty due to unclear roadmap, rules

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ANN/THE JAKARTA POST – Indonesia’s battery industry is anticipated to pose persistent challenges, due to the absence of clear regulations and a defined roadmap, potentially hindering the country’s electric vehicle (EV) aspirations.

The International Energy Agency (IEA) emphasised the crucial role of policies and regulations in propelling and encouraging electrification, citing successful instances in the significant growth of electric car models in the United States, China, and Europe during the early stages of EV adoption.

Director of the state-owned Indonesia Battery Corporation (IBC) Toto Nugroho said Indonesia is still lacking rules related to the governance of the domestic battery industry, especially those related to stakeholders’ responsibilities and state-owned enterprises’ roles as developers.

He stressed a need to quickly introduce regulations in other areas to support the EV battery industry, such as standardisation and recycling.

“Furthermore, to date, a road map for battery industry development remains unclear,” he told House Commission VII overseeing energy and mineral resources in Jakarta.

PHOTO: ENVATO

EV battery expert and founder of the National Battery Research Institute (NBRI) Evvy Kartini said that the National Standardization Agency (BSN) issued the Indonesian National Standard (SNI) for EV batteries, but it has yet to include swappable batteries.

“There are different types of [EV] battery packs on the market based on their capacity. For this reason, a draft of the SNI [RSNI] is currently being put together to standardise swappable batteries,” she said.

A swappable battery pack format for EVs will allow drivers to easily switch their empty batteries for a fully charged one.

Thus, the standard system is crucial to accommodate various brands and models of EVs to ensure a seamless battery-swapping service in the country.

Regulation on battery standardisation will likely be effective in increasing sales of EVs, especially for electric two-wheelers, according to Evvy, as it can reduce one of the major concerns among users.