Ministry of Investment, Trade and Industry (MITI) Minister Tengku Datuk Seri Zafrul Abdul Aziz stated that they hope the Finance Ministry will consider the introduction of incentives aimed at promoting the adoption of electric vehicles (EV) in the forthcoming Budget 2024.
He mentioned that MITI had received numerous proposals from industry stakeholders and the public concerning Budget 2024, including recommendations pertaining to the EV sector, according to a news report by Bernama.
Tengku Zafrul highlighted that Indonesia stands as the sole ASEAN nation offering subsidies for electric motorcycle purchases.
He emphasised that the proposal to introduce incentives to stimulate EV purchases in Malaysia is a commendable idea that should be integrated into Budget 2024.
He expressed confidence in the Prime Minister, who serves as the Finance Minister, giving due attention to proposals from all ministries, MITI included.
Additionally, Tengku Zafrul stressed MITI’s commitment to supporting the expansion of EV charging infrastructure for two-wheelers. He noted the government’s commitment to installing 10,000 EV chargers nationwide by 2030.
He further explained that as EV batteries account for a significant portion of the cost, battery-swapping services could substantially reduce ownership expenses for e-bike owners, making the adoption of EVs more accessible and cost-effective.
The minister also urged more local companies to enter the two-wheel EV industry and assured ongoing government support and facilitation of initiatives aligned with the collective goal of fostering a cleaner, more environmentally friendly, and economically prosperous Malaysia.
EV Adoption Is Increasing, But Charging Facilities Are Lagging Behind
The government wants people to adopt EVs, but there are not enough charging stations to support all the EVs on the road.
Previously, we reported that Shah Yang Razalli, deputy CEO and chief green mobility officer of Gentari said that the current state of charging infrastructure lags behind the pace of EV adoption.
To tackle this problem, he added that the government should accelerate the approval processes for setting up charging stations to ensure efficiency for the EV industry and consumers.
