The Paradox of Electric Vehicle Policy in Indonesia A Systems Perspective Analysis
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Abstract
As part of its plan to reduce carbon dioxide emissions, Indonesia has very supportive policies for electric vehicle (EV) users. This study investigates whether the technology that replaces internal combustion engines with electric vehicles (EVs) is sufficient to achieve the desired system emission levels for the mobility and energy subsystems. This study integrates academic literature, official statistics, policy documents, stake- holder documentary evidence, and causal loop diagrams (CLD) and system archetype modeling. This model is built at the national policy level and only incorporates ur- ban mechanisms below the national level that are relevant, without considering this context as a representation of Indonesia as a whole. In fact, the following analysis found the presence of a balancing mechanism, meaning that while electric vehicle subsidies can drive technology substitution and emission reduction, they can also re- veal reinforcing feedback on the growth of private vehicles, congestion, mode choice, sustainability of conventional vehicles, road development, and the condition of the electricity industry, which can mitigate the effects of electric vehicle subsidies. The following research can determine a structure consistent with the “Fixes That Fail” archetype and provide input to recalibrate subsidies for public transportation as a strategic leverage point to achieve more sustainable emission reductions and support Indonesia’s long-term goal of achieving Net Zero Emissions.
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WAHYUDI ATMOKO, Andreo; DAMAYANTI, Asputia; AI PING, Teoh.
The Paradox of Electric Vehicle Policy in Indonesia A Systems Perspective Analysis.
Policy & Governance Review, [S.l.], v. 10, n. 3, p. 326-347, nov. 2026.
ISSN 2580-4820.
Available at: <https://www.jurnal.iapa.or.id/pgr/article/view/1436>. Date accessed: 06 nov. 2026.
doi: https://doi.org/10.30589/pgr.v10i3.1436.
Section
Articles
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
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