Gov’t Pushes for Electric Products With TKDN Certificate

Minister of Industry Agus Gumiwang Kartasasmita (Photo: Cabinet Secretariat)

The Government continues to push for the optimization of the domestic component level (TKDN) in the electricity sector as an effort to substitute imported products.

For this reason, Minister of Industry Agus Gumiwang Kartasasmita said that various programs have been prepared, one of which is providing 9,000 free TKDN certificates.

“All communities and industries need electricity that is continuously available, affordable and sufficient. This can spur domestic industries to provide high quality and competitive electricity products,” Agus said, Sunday (29/8).

According to Agus, synergy, support and openness from all stakeholders are needed to realize TKDN in the electricity sector.

“The involvement of domestic industries as partners in electricity projects is expected to run optimally and in accordance with the latest industrial conditions and capabilities,” he added.

For the record, there are currently 3,404 certified electrical equipment products, while products with a TKDN achievement value of below 25 percent reach 413 products.

In the meantime, products with TKDN value between 25-40 percent reach 664 products and more than 40 percent are 2,327 products.

For small and medium industries, in the 2018-2021 period Ministry of Industry has provided certificates to forty small and medium industries for 230 products with a TKDN value above 25 percent in which 28 of them are electrical equipment.

The Ministry has also issued a regulation on optimizing TKDN for electricity infrastructure development through Minister of Industry Regulation Number 54 of 2012 on Guidelines for the Use of Domestic Products for Electricity Infrastructure Development.

Agus also expressed belief that the policy of using domestic products and the rapid development of electricity infrastructure will have a wide multiplier effect, especially in terms of boosting the performance of the national industrial sector.

“Electricity is like the heart of the industrial sector. That is why investors who want to invest in Indonesia always ask about the availability of electricity supply,” said Agus.

The Government has also set the target of the average TKDN implemented by industry players in all sectors to reach 40 percent by 2024. (PR of Ministry of Industry/UN) (EST/EP)