CORPORATE STRATEGY TO OPTIMIZE THE DEVELOPMENT OF BATTERY ELECTRIC VEHICLE IN INDONESIA (CASE STUDY: INDONESIAN STATE-OWNED ENTERPRISES)

• Main Author: Benriwan
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/55634
• Institution: Institut Teknologi Bandung

National energy consumption is dominated by the transportation sector, reaching 45%. The increase in the number of motorized vehicles each year means that fuel consumption will also continue to increase, but the capacity of fuel refineries does not increase. The development of energy efficiency for EVs is a solution to reduce fuel consumption in the transportation sector. It is to increase energy efficiency, sustain national energy security, conserve energy in the transportation sector, realize clean energy, clean air quality, and be environmentally friendly. The adoption of battery electric vehicles in Indonesia has not run optimally, according to the objectives set by the Indonesian Government. The Indonesia Battery Corporation (IBC), which consists of MIND ID, Antam, Pertamina, and PLN, was established as a holding company to manage the integrated electric motor vehicle industry ecosystem from upstream to downstream. IBC will also carry out strategic alliances with third parties, which have control technology and access to the global market. The goal is to form joint ventures along the battery electric vehicle industry value chain, from nickel processing, precursor, and cathode materials, to battery cells, battery packs, and energy storage systems (ESS) and battery recycling. Research by conducting stakeholder analysis and value chain analysis. Strategy formulation uses vertical integration, the build-borrow-build framework, and strategic alliances. Interviews were conducted with key informants related directly to the electric vehicle development program. The result of this research is that the adoption of electric vehicles in Indonesia is not optimal. On the other hand, the adoption of battery electric vehicles in several countries is very massive, including China as the country with the highest adoption rate of battery electric vehicles globally, followed by the USA and several countries in Europe, including Norway. The IBC manages the electric vehicle battery industry ecosystem, plays an essential role as an integrator for stakeholders in several ministries, academia, industry, society, and the media. The current incentive policy needs to be sharpened. The number increased to be able to accelerate the creation of a demand-side and a supply-side.