SERI KEMBANGAN: Industries using heavy vehicles should start transitioning to electric if Malaysia is to attain net zero carbon emissions by 2050, even though the cost is still a barrier, says Anthony Loke.
The Transport Minister said as fuel subsidies run into billions every month, the government is looking at ramping up the eco-system to support electric vehicle (EV) usage.
“We are spending over RM2bil a month on diesel subsidies. We (the government) must take steps because if fuel prices continue to rise, the cost burden will also increase.
“We also hope the country can move towards a more sustainable transportation system.
“EV adoption is something the government has been discussing for the past few years. Previously, the focus was more on private vehicles. Now, the Transport Ministry is also trying to push the agenda for commercial vehicles.
“We know electric trucks are still much more expensive than conventional diesel trucks.
“Typical electric trucks can cost more than RM1mil, so the transition is not easy because it involves high cost implications for operators,” said Loke after officiating the 7th edition of Malaysia Commercial Vehicle Expo here yesterday.
“But in our local context, it is not that easy to make the transition. What we are looking at is discussing within the EV task force to push for more incentives, such as tax exemptions for EV trucks, so that we can bring down the investment cost of EVs over the long term.”
Loke acknowledged that the new rulings by the Investment, Trade and Industry Ministry (Miti) on completely built-up EVs are indeed challenging, but added that there are ways to navigate this.
“What Miti hopes for is greater localisation and more completely knocked down assembly in Malaysia.
“We also understand Miti’s position. While we want to see more EV adoption, we also want to develop the local industry, local economy and supporting industries through local assembly in Malaysia.
“As for electric trucks, we will discuss this further next week within the EV task force on how to encourage the adoption of EV trucks,” said Loke, who agreed that there needs to be a serious look into the incentives that can be offered to operators so that they can afford electric trucks.
“I am not saying we must immediately switch entirely to electric trucks, but we need to start taking steps toward more sustainable and competitive adoption.
“If we want to encourage the use of electric vehicles in general, we must have a complete ecosystem, especially in terms of charging stations,” he said.
