Indonesian, British Minister Discuss Electric Car Battery Investment

Kepala Badan Koordinasi Penanaman Modal (BKPM) Bahlil Lahadalia.
Sumber :
  • VIVAnews/Mohammad Yudha Prasetya

VIVA – Minister of Investment/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia received a visit from the British Minister of State at the Department of Business and Trade Nusrat Ghani and British Ambassador to Indonesia Owen Jenkins at the Ministry of Investment/BKPM Office.

During the meeting, Minister Lahadalia explained downstream investment opportunities in the critical minerals sector and the development of electric batteries as well as about new renewable energy (EBT) investments that are expected to penetrate the European and American markets.

"This afternoon I received a visit from the Minister of State for Business Affairs and Trade of the United Kingdom Nursat Ghani and the Ambassador of the United Kingdom to Indonesia Owen Jenkins at the Ministry of Investment / BKPM office," the Minister was quoted as saying on his Instagram account @bahlillahadalia, on Thursday.

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Photo :
  • Instagram @bahlillahadalia

"Our talks included plans to build a car battery ecosystem, investment in the affordable New Renewable Energy (EBT) sector, and downstream opportunities for raw materials to enter the European and American markets," he added.

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Minister Lahadalia explained that Indonesia has enormous potential for raw materials to support the electric car battery industry and renewable energy.

The Indonesian government encourages the downstream of mineral resources that still prioritize environmentally friendly and towards the use of new renewable energy.

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"We want to invite investors from outside to build industries here, the products are exported, and the environment is maintained. Also, we want to explain downstream that applies environmentally friendly principles to achieve net zero emission. How about using technology from the UK? We combine it with raw materials from Indonesia," he explained.

The minister also said that during the discussion, the United Kingdom had interest and confidence in Indonesia's future economic growth potential.

"This certainly shows the UK's trust and commitment in Indonesia's economic capabilities and potential, as well as the two countries' shared vision for sustainable and inclusive development," he said.

Moreover, Minister Lahadalia said that collaboration between Indonesia and the UK in the economic field not only strengthens bilateral relations between the two but also becomes a world economic power.

"These steps not only strengthen economic relations between Indonesia and the UK but also strengthen the position of both countries on the global stage," he added.

Meanwhile, the British Minister of State at the Department of Business and Commerce Nusrat Ghani welcomed Bahlil's idea and stated that he is ready to match British companies that can help Indonesia in terms of downstream.

In addition, the UK also needs support for investment in the mining sector.

"The UK government wants to diversify the raw materials of critical mineral resources especially those used for solar panels and electric car batteries. We support the policies carried out by Indonesia and we are ready to assist Indonesia in terms of technology to achieve the net zero emission target by taking into account applicable environmental standards," said Ghani.

As information, critical minerals are the minerals of the future that are needed, following the development of technology to obtain cleaner energy. These minerals can be used in electric motor vehicles and various other purposes.

The Indonesian and British governments agreed to further discuss cooperation on the utilization of new technology for new renewable energy to achieve the Sustainable Development Goals (SDGs) and Indonesia's Net Zero Emission (NZE) target.

Based on the investment realization records of the Ministry of Investment/BKPM in 2022, the UK ranked 10th for the country of origin of Foreign Direct Investment (FDI) with a value of US$628.3 million.

The main sector of investment from the UK in 2022 is the crop, plantation, and livestock sector with an investment value of US$146.2 million or 23.3%, followed by the paper and printing industry, then other service sectors, the mining sector, and the food industry.

The location of investment realization from the UK for the same period is mostly outside Java (69.4%), namely on the island of Sumatra (41.3%), followed by Java (30.6%).

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