V-GREEN and Prime Group Partner to Build 100,000 EV Charging Stations in Indonesia

In a significant move to accelerate electric vehicle (EV) adoption in Indonesia, V-GREEN and Prime Group have announced a partnership to construct 100,000 charging stations across the country. This ambitious project, with an estimated investment of $1.2 billion, aims to address one of the major hurdles in Indonesia's transition to sustainable transportation: the lack of adequate charging infrastructure.

Indonesia's EV market has shown promising growth in recent years, with sales increasing from modest numbers in 2020 to over 10,000 units in 2022. However, EVs still account for only 0.5% of total vehicle sales in the first half of 2022, indicating substantial room for growth. The country's current charging infrastructure, with approximately 1,500 public charging stations primarily concentrated in urban areas, has been identified as a key factor limiting widespread EV adoption.

The collaboration between V-GREEN, part of the ecosystem supporting VinFast's electric vehicles, and Prime Group, a diversified business conglomerate from the UAE, seeks to bridge this infrastructure gap. According to the Memorandum of Understanding (MoU), the partners will focus on research and development to establish the charging network over the next three years. The initial phase will prioritize key Indonesian cities such as Jakarta, Surabaya, and Bali, with construction set to begin in January 2025.

This partnership leverages the strengths of both companies. Prime Group will utilize its extensive financial resources and global network to provide capital for the project, while V-GREEN will conduct comprehensive market research to identify optimal locations for the charging stations. This strategic approach aims to address both current and future needs of EV users in Indonesia.

The significance of this initiative extends beyond the immediate boost to Indonesia's charging infrastructure. It represents a major step in the country's efforts to reduce carbon emissions and transition to sustainable transportation. By providing a more comprehensive charging network, the project could potentially accelerate EV adoption rates, making electric vehicles a more viable option for Indonesian consumers.

Moreover, this partnership could have broader implications for the Southeast Asian EV market. As stated by Mr. Tamer Wagih Salem, Chairman of Prime Group, the collaboration with V-GREEN is seen as a stepping stone to explore further opportunities globally, including expansion into the Middle East, Europe, the United Kingdom, and the United States.

The project also aligns with VinFast's global ambitions and its "For a Green Future" strategy. By establishing V-GREEN as an independent entity focused on developing and managing a global charging network, VinFast aims to position itself as a leader in electric mobility while concentrating on its core competencies of vehicle design, manufacturing, and sales.

This initiative comes at a time when Vietnam, where VinFast originated, has already made significant strides in developing its charging infrastructure. With plans for 150,000 charging ports across 63 provinces and cities, Vietnam's charging network surpasses those of regional counterparts like Thailand and Singapore in terms of scale and population ratio.

As the world increasingly shifts towards sustainable transportation solutions, the partnership between V-GREEN and Prime Group to develop Indonesia's EV charging infrastructure could serve as a model for other emerging markets. By addressing one of the key barriers to EV adoption, this project has the potential to accelerate the transition to electric mobility, contributing to global efforts to combat climate change and reduce dependence on fossil fuels.