Anthony Utomo: Accelerating Electric Commercial Vehicles for a Greener Future

Entrepreneur Anthony Utomo is making his contribution to improving air quality and supporting Indonesia's clean energy transition by introducing a new generation of electric commercial vehicles.

His vision came together in Australia while attending the Australia Awards Short Course on Accelerating the Transition to Electric Vehicles for Sustainable Transport Solutions in 2024.

‘In the context of developing a low-carbon economy, Australia provides a lot of inspiration. Apparently, everything can be done in collaboration while still providing direct benefits to entrepreneurs and not just relying on subsidies,’ Anthony said.

‘We also realised that Australia was more advanced than Indonesia in terms of market structure and policy. The focus is also not only on lifestyle, but on decarbonisation and emission reduction from industry players. This is amazing.’

. Anthony, Managing Director of his clean transport solutions company, Utomo Mobility, benefited from discussions with fellow Short Course participants, including a representative from rideshare company Grab and government officials.

He was encouraged to work on a solution to Indonesia’s air pollution, some of which is caused by outdated vehicles.

‘We really didn't just think from the perspective of business groups or interests, we could also see the complexity for the policy makers,’ said Anthony, whose company is part of Utomodeck Group, founded in 1976 by his father Darmawan Utomo.

Leading the Charge on Electric Trucks

Following his time in Australia, Anthony tried to map the market for electric vehicles in Indonesia to find opportunities for innovation.

‘Many friends have worked on two-wheeled motorbikes. Four-wheeled or passenger vehicles have also been marketed in Indonesia,’ he explained. ‘Then there were EV trucks, which had not been touched. We are venturing into the EV truck industry.’

In July, Utomo Mobility launched a strategic partnership with Indomobil, one of Indonesia's automotive companies. Under this partnership, Utomo Mobility is the authorised dealer and service centre for Indomobil JAC EV Trucks. Approximately 1,000 trucks are expected to be produced this year. Three types are set to be launched, with some suited to challenging environments such as mining or plantations and others for urban logistics.

Anthony’s company, Utomo Charge+, will also build and operate new public electric vehicle charging stations to support the new vehicles, according to demand. This provides an ‘end-to-end solution’ for those who make the switch to electric trucks.

‘The concept is to create a mobility hub, which we also learnt in Australia,’ said Anthony, explaining the electric vehicle charging centres would be combined with environmentally-friendly spaces for citizens to enjoy.

Cost-Friendly and Efficient Transportation

Antony, who is also chair of the permanent committee for New Energy, Renewable Energy and Energy Conservation at the Indonesia Chamber of Commerce and Industry, believes the electric truck is one way for the business world to contribute to Indonesia’s energy transition and national decarbonisation efforts.

‘It's not just up to state-owned enterprises, let alone the government. The private sector must also play a role,’ he said.

Anthony explained that switching from petrol to electric can save 20% on fuel costs alone. Not only are the vehicles cost-effective, but they could also help solve the problem of uneven distribution of fuel oil. This should make electric trucks appealing to business, especially those outside Java.

‘Locations outside Java sometimes experience fuel scarcity,’ he said. ‘The conversion to electric will help the government resolve the distribution burden on subsidised diesel.’

In Indonesia, fossil-fuelled trucks are often used beyond their capacity. The load placed on the truck often exceeds the maximum limit, which results in damage and even accidents that endanger other road users.

Anthony said Utomo Mobility would offer customers a buyback facility of 30% after the fifth year, provided the truck was in good condition and had not worked over capacity.

‘There is a condition, which is don't tamper with it yourself and don't abuse it,’ he said of the buyback scheme.

Broadening the Appeal of Electric Vehicles

In the wider community, Anthony said, there must be different methods to introduce electric vehicles and encourage their adoption.

‘When we say, ‘carbon emissions’ and so on, it's language that is difficult for the general public to understand,’ he said. ‘But if we say, ‘with this electric vehicle, there is no more smoke in your village, they will relate.’

Explaining the benefits of EVs is just one challenge. Anthony hopes there will also be government intervention to provide non-fiscal incentives that make it easier for small businesses to convert their vehicles to electric vehicles.

Banks should also make it easier to finance the conversion to clean technologies, particularly for small businesses, Anthony said.

‘The mandate is clear to encourage the acceleration of clean mobility for sustainability,’ he said.

A Cleaner, Quieter Future for Indonesia

Speaking on the International Day of Clean Air for Blue Sky, Anthony emphasised the link between the transition to sustainable energy and transport and the environment. The growing pollution problem and its real health impacts were a sign that quick action was needed, he said.

The pollution was also not limited to the air, he said, but also to noise, which also contributes to stress. To be successful in the transition to greener transportation, Anthony argued, it must be convenient, for example, when renewing vehicle licences and completing emission tests.

Crucially, the location of charging stations must be easily accessible and low-cost, so that people don’t mind switching.

‘As we know, the pollution problem is very relatable and can be directly understood by the general public,’ Anthony said. ‘So, we say it's time for the power of silence. Quiet vehicles. Quiet is the future of Indonesia.’