The Financial Services Authority supports the Acceleration Program for Battery-Based Electric Motor Vehicles (KBL BB) launched by the Government in Presidential Regulation No. 55/2019, by encouraging national banks to participate in achieving the program.

OJK Chief Executive of Banking Supervision Heru Kristiyana in a letter to the Directors of Conventional Commercial Banks on September 1, 2020, explained that OJK provides the following incentives:

1. Provision of funds to debtors to purchase KBLBB and or develop the upstream industry of KBL BB (battery industry, charging station industry, and component industry) can be categorized as fulfilling the provisions of implementing sustainable finance.
2. Provision of funds in the context of the production of KBL BB along with its infrastructure can be categorized as a government program that gets BMPK exemptions if it is guaranteed by financial guarantee/insurance institutions of BUMN and BUMD. This is in line with POJK No.32/POJK.03/2018 as amended by POJK No.38/POJK.03/2019 concerning Maximum Lending Limits and Provision of Large Funds (POJK BMPK).
3. Credit quality assessment for the purchase of KBL BB and or the development of the upstream industry from KBL BB with a ceiling of up to Rp5,000,000,000.00 (five billion rupiah) can only be based on the accuracy of principal and or interest payments. This is in accordance with the implementation of POJK No.40/POJK.03/2019 concerning the Asset Quality Assessment of Commercial Banks.
4. Credit for the purchase of KBL BB and or the development of upstream industries from KBL BB for individuals or MSE business entities may be subject to a risk weight of 75% (seventy-five percent) in the calculation of Risk Weighted Assets (RWA). The application of the risk weight is in accordance with SEOJK No.42/SEOJK.03/2016 as amended by SEOJK No.11/SEOJK.03/2018 concerning Guidelines for Calculation of Risk-Weighted Assets for Credit Risk Using a Standardized Approach which is quite low when compared to the risk weight to unrated corporations which is 100% (one hundred percent).

In addition to this, these incentives are in accordance with POJK No.51/POJK.03/2017 concerning the Implementation of Sustainable Finance for Financial Services Institutions (FSIs), Issuers, and Public Companies stipulated that FSIs, Issuers, and Public Companies that implement sustainable finance effectively can be given incentives by OJK, which include including participation in human resource competency development programs or the awarding of sustainable finance awards.