Electric Vehicles Update
The move to using electric vehicles can help Indonesia reduce its dependability on fossil fuel (BBM). The Vice Minister of Energy and Mineral Resources (ESDM) Arcandra Tahar told yosefardi.com that the Government will continue to work on the regulatory framework that would accommodate electric vehicles. It’s the wish of President Joko “Jokowi” Widodo.
Electric Vehicle Drive & More Nickel Processing Projects in Indonesia
President Joko ‘Jokowi’ Widodo has on Monday (Jan 14) led a limited cabinet meeting for the acceleration of electric vehicle (EV) program in Indonesia. Other than its cleaner perception, EV is expected to significantly reduce the country’s heavy reliance on imported fuel.
Investment Stories of 2019
At least 50 investors have committed to build factories at Kendal Industrial Park in Central Java, which is co-owned by Jababeka (KIJA) and SembCorp. Seven companies have been operating factories, three in the construction stage, while 12 are finalizing necessary licenses. Completion of the trans-Java toll road has boosted investment opportunities in the area.
Electric Cars Disruption & Indonesia
Electric cars can create the biggest disruption since the IPhone. Tesla Roadster, considered the first production automobile to use lithium-ion battery cells and the first production EV with a range greater than 320 KM per charge, was delivered in February 2008. In June 2010, Tesla Motors Inc launched its IPO on the Nasdaq exchange with offering price of $17 per share. For more than three years after the IPO, Tesla shares were traded below $40.
On INALUM’s Dividend from Freeport
After PT Indonesia Asahan Aluminium (Inalum) successfully bought 51 percent of the shares of PT Freeport Indonesia, many have asked if the former would indeed earn a lot in the years to come. Budi tried to tone down the public’s expectation, and he’s using the closure of the open pit mine to say that INALUM will not score big until 2022.
Infrastructure Journal
President Joko ‘Jokowi’ Widodo is determined to improve connectivity in Java Island, home to around 150 million population, with construction of Semarang-Demak toll road in Central Java province this year. In the meantime, power generation capacity is set to grow nearly 4,000 MW from newly built plants this year.
Renewable Energy Projects Under Risk of Failure
In early 2018, the Ministry of Energy and Mineral Resources (ESDM) set the target of renewable energy consumption to reach 10 percent. Unfortunately, however, a lot of renewable energy contracts are now under risk of failure for they have not obtained financing certainty.
The Amended Oil & Gas Law to Separate Upstream and Downstream Bodies
The amendment of the Law No. 22/2002 in Oil and Gas (RUU Migas) made it into the prioritized legislation agenda of 2018, but no significant progress was made. The member of Commission VII of the House of Representatives (DPR) Qurtubi said that the there were discussions on the amendment bill in 2018, but it did not continue to crucial stages due to general election preparations.
Further Development of Tourism Industry
Indonesia welcomed 14.39 million visits of foreign tourist in Jan-Nov 2018, an increase of 11.63% from the corresponding period of 2017. The country might have missed its full year target of 17 million visits, but given series of natural disasters (earthquakes in Lombok, tsunami in Palu & Donggala, tsunami in the Sunda Strait), 2018 was still a decent year.
Arcandra to the Defense of Pertamina’s Mahakam
The Mahakam Block in East Kalimantan is under the management of PT Pertamina. The Block’s transition from Total E&P to Pertamina has since been a topic of conversations. Recently there was a claim that the Mahakam Block’s oil and gas production has since experienced a steep decline under Pertamina. The Vice Minister of Energy and Mineral Resources (ESDM) Arcandra Tahar begged to differ.