The Malaysian Automotive Association (MAA) is proposing that new electrification incentives given under Budget 2024, which is set to be tabled in parliament on October 13, should be for all types of electrified vehicles (xEV) rather than just for battery EVs (BEV) in order to ramp up electro-mobility efforts in the country.
Its president, Mohd Shamsor Mohd Zain, said xEVs, which cover hybrid electric vehicles (HEV), plug-in hybrids (PHEV) and fuel-cell electric vehicles (FCEV) in addition to BEVs, would provide more traction for the segment.
“A step-by-step approach, starting from HEV, is the most ideal way to phase out the existing conventional internal combustion engine (ICE) vehicles. Hybrids are the first step towards the mass usage of electrified vehicles,” he told Bernama.
Mohd Shamsor said MAA hoped that the existing incentives of a RM2,500 rebate and road tax waiver for EVs will be extended to the purchase of all xEVs in both passenger and commercial vehicle categories.
The association also proposed that a personal income tax relief should be given for the purchase of a xEV as well as for the installation of solar panels at home. “The latter will support the energy mix of the government, in which renewable energy will form 17% of the total energy source by 2040,” he said.
On the subject of import and excise duty exemptions, Mohd Shamsor said MAA appreciated the government’s move to extend the two-year import duty and excise duty exemption for completely built-up (CBU) BEV units until 2025 and completely knocked-down (CKD) BEV units until 2027, as announced during Budget 2023.
Nevertheless, he said the association felt that the duration of incentives given to businesses was rather short. He explained that as the automotive industry is very capital-intensive, business plans are usually very long-term in nature.
“The tenure of incentives given to automotive companies should be on a long-term basis, and we encourage consultations with stakeholders and MAA on the most suitable incentive tenure. This will enable both local distributors and their overseas principals to study, prepare and draw up comprehensive long-term investment plans for the Malaysian market,” he told the national news agency.
A long-term policy would also help to build greater confidence among foreign investors, he said. “Short-term and/or ad hoc policies make it difficult for companies to draw up plans to evaluate business feasibility, especially in introducing newer technologies and more high-tech (technology) vehicle models into the local market,” he stated.
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Promotes only renewable energy vehicles don’t sway out off topic.
HEV is useless; At best 24km/L
Normally Perodua can 17km/L
So the HEV consume 40% less
BEV consume 100% less fuel
And less maintenance parts
Charging + re Fueling = Double the Cost and maintenance. So go straight into BEV or just stick to ICE
Now we are working on it. See how we can squeeze max out of the worthless slobs since Petronenas will be out of the picture.
Just get rid or AP systems then you don’t have to worry about incentives anymore dear beloved government of Malaysia
Abolishing APs for Franchise Brands doesn’t mean much. It’s only RM2 per piece. Not having those APs means anyone can buy a new car from overseas and import them at will. But duites and taxes will still be there and worse of all there’s no warranty.
Good, I don’t mind paying duties and tax, I just want to import new or used car myself without needing to go through useless middleman. I can buy my own warranty.
Agree, definitely should incentivize the purchase of ebikes, and hybrids. Most of the population is not able to afford EV due to one thing or another, so at least this way, the govt can get the ball rolling – till the rest of the dominos fall into effect:
– more charging station
– no more fuel subsidy
– etc.
Illogical to push for EV. The range too small. Even at a quotes range of 400km, usually when go on highway will drop about 10-13%. At the 360km left, Hit and miss from KL to Penang . So a charge mid way eg in Ipoh is required. Usually a charge from 10% to 80% is fast, below and above that will be slow. That means effectively out of the 360km only 70% is practical ie 252km. Drive above 110km/h will drop the range further. at 130km/h range drops another 7%. Midway top up time depends on charger speed. Most chargers very slow at 7-20kw/h. DC fast charge about 50kw/h to the rare 300kw/h. Then also depends on state of battery, battery charge remaining , car charger capacity, charger out of service or not etc etc etc . Dah sampai Penang pulak now hv to full charge to come home to KL. Where to charge is like searching for space in mall car park.. penuh or hogged by other fully charged EVs or ICE cars.
Also simply Google or YouTube search Tesla charging queue.. when peak travelling season , limited chargers and each EV needs half an hour to charge, the queue soon builds up
Stop pushing everyone into EVs. I am happy with the 600km petrol or diesel tech which takes 5 mins pitstops . VW, Merc, BMW have models that can even go up to 1000km per tank
So you’re saying that getting ICE is only good for traveling? I wonder how often normal rakyat travel.
There really isn’t a need to hate EVs. Most people use their cars to commute from home to work, and those are seldom above 150km in distance, round trip. Those are the cases that EVs are really good at solving. A household can have one or more EVs as their dailies, and keep an ICE for the occasional long distance travel.
Better still, just rent a car for long distance travel if it’s an occasional thing. There are quite a number of people that rent larger cars to balik kampung when the occasion arises. Why make a an issue out of a nonissue?
If one indeed needs to travel up and down interstate on a frequency more than once a month, then okay, EVs are definitely not for them. For the rest of us, if you can afford it, I don’t see why you shouldn’t.
Happens to love EVs by the way for their in town driving , the pick up etc. Only trying to point out that the policy makers should not push everyone into EVs by giving incentives to EV ownership and at the same time punish ICE owners. Many Klang valley people do make the long distance trips balik kampung to Penang, Kelantan , Johor etc. Fact is the majority can not afford to have 2 cars where 1 is EV for work and 1 ICE for balik kampung. Most working people hv 1 car to do it all. Holiday season is impossible to rent cars as it stands and probably will not have the capacity to cater to the balik kampung peak demand . Same goes to the charging infrastructure . Don’t forget malls and hotels have very limited charging bays. when thousands need to charge for the return trip, it is going to be no fun for many. Of course T20 with premium home charging and VVIP hotel reservations are the minority that are not as affected by the push to EVs.
Would you care to explain how incentivizing EV is punishing ICE? There had been no change in ICE prices other than the inflation; and that in itself is an economic issue on a global scale.
Infrastructure is a chicken and egg problem. Without the EVs the charging points will never get built and vice versa. The government has to start somewhere, so generating the demand is a standard move to encourage infrastructure to develop.
As for the long distance travel problem, the alternatives could have been more buses, trains, flights, etc. Why did the previous administration kill the ECRL? Or the North-South HSR project? Most of these projects would have solved plenty of the issues and spread out development of the nation more evenly but for one excuse or another, none of it got done. Then here we are, pursuing irrelevant arguments against EVs while being blind to the actual issue at hand, which is a national infrastructure issue.
Putting more cars on the road to cover up for the failures of infrastructure is only going to cost everyone more money and time. Lives wasted stuck in a jam on a daily basis and an even longer jam during the festive seasons. It need not be that way and that should have been the focus of our attention, not bashing an alternative to ICEs.
Also, I find it intriguing that we fail to highlight that every year during festive peaks, some gas stations on major interstate highways will inevitably run out of gasoline and cause hundreds, if not thousands of motorists to be stranded for at least a day or two.
The entire petroleum distribution system had been around for more than 80 years and it still failed to account for this.
Peak seasonal demands are a hard problem to tackle. As much as we would get outraged over it when we are the victims, this is both a societal problem and an infrastructure problem. We should collectively be more understanding and progressively figure out ways to ease the problem.
Bashing EVs is just an unhelpful distraction to a bigger problem.
I am the biggest EVangelist but I have to agree. You should not legislate towards a total ban on ICE. Let the market decide. Having said that, with CO2 targets to meet, there is nothing wrong to incentivise the use of EVs as it will fit 95% of people.
As it stands, you are absolutely correct, road trips above 200km one way is a chore and anxiety inducing, especially if you are not driving a Tesla with the benefit of their SC network and/or do not have home charging at both points of travel.
We are also talking about EV tech *today*. Motor/battery tech will improve to the point when range/cost is no more an issue for Malaysia as we are a small country all things considered. 400km range is today’s tech, 600km-800km will become the norm when tech matures a little more, and then into ridiculous range (>1,000km). If that point comes and we are left completely behind, the same EV poo poo boys will blame the government for having their pants down. Government can’t win.
Rubbish statement from incompetent people.
Like you
jaga kepala kau
Ya, provide same incentive to hybrid too and both cars
/ electric bikes. reduce dependency on fossil fuel & govt can reduce further the total expenditures on fuel subsidy. reduce fuel usage = reduce subsidy expenditure and govt can focus more on hospitals & schools
should have been done early on.
you cannot expect people to immediately jump to ev from ice.
they need to gradually move to hybrids first to get used to the idea of battery powering with engine then slowly move to ev as the end. bridging technology.
and please abolish APs.
Hybrids first came to market in 1996 with the Prius and entered Malaysia in 2012.
Remember Honda Clarity? City Hybrid? Audi A6? Mercedes Blue Efficient Diesel Hybrids?
Ten-year head start with a bunch of incentives back then but failed to gain traction. Ignorance and fear killed the program. Now when a new competitor with far superior technology comes onto the scene, the laggards are now clamoring for obsolete tech that they scorned ten years back.
This opportunity to leapfrog into the modern times would again be squandered off by bending over backwards; to appease the cronies who are overly invested in the past while failing to account for the future. Honestly, I can understand why they choose to do that because they wouldn’t live long enough to see that future, to the detriment of the younger generation who still has a lifetime ahead of them.
Just removed all fuel subsidies and more people will automatically switch to hybrids or ev…
This! EV adoption in China is largely down to fuel prices (RM5.80 at pump) and also cheap EV prices. Also that little thing that non-EV plates has a waiting list of 18 months.
EV adoption in HK is off the charts because pump prices are…..wait for it……RM14.40/l. RM518 to fill a MyVi from empty. Fill up Volvo XC90 at 71 litres and it costs RM1,022.
It costs RM126 to fully charge a Tesla Model Y in HK from empty and that’s at RM1.86/kWh, by comparison home charging in KL is RM0.57.
Anwar menang, AP hapus
Tiu Kau Hei Ma. Bikin hal
As usual, the elephant in the room not addressed!
APs are a form of crony tax, benefit a few, but 99.9% buyers have to pay like 30 to 60K extra per car.
This cost also bumps up loan, interestpaid and insurance.
All talk before election, now swept away. Then very high duties AND still have sales tax. Where all the money go?
Still talking about scraps
Why EVs require incentives?
What power is used to charge EV batteries? It is crude/coal/hydro
What power is used by EV car manufacturers to make EV cars? It is crude/coal/hydro
What power is used to transport the raw lithium, nickel and cobalt to the smelters to purify it? It is crude/coal/hydro
What power is used by the smelters to purify the lithium, nickel and cobalt? It is crude/coal/hydro
EV is a world wide scam to control the masses… They can shut down EVs if we do not comply to their mandates.
They can control how far and where you go and restrict you from driving on certain days if they want to!!!!
Imagine, if you dont pay your mobile bill or home internet bill, they can disconnet your service right?… they can do it to EV too….
I have warned you people