V-Green to build 63k EV chargers in Indonesia

V-Green, a developer of electric vehicle (EV) charging stations, has signed agreements with four partners to deploy approximately 63,000 charging ports for VinFast EVs in Indonesia by the end of 2025.

This initiative represents a notable increase from the company’s previous targets.

The agreements involve collaboration with Chargecore, Chargepoint, Amarta Group, and CVS.

They will contribute a total of US$300 million to develop EV charging infrastructure across several Indonesian regions, including Jakarta, Bali, and Kalimantan.

The first charging stations are scheduled to begin operations in June 2025.

🔗 Source: VinFast

🧠 Food for thought

1️⃣ Indonesia’s EV infrastructure expansion significantly outpaces current adoption rates

V-GREEN’s target of 63,000 charging ports by 2025 represents an aggressive expansion compared to Indonesia’s existing EV infrastructure.

Currently, Indonesia has only about 440 charging stations nationwide, despite government plans for 32,000 stations by 2030 1.

This expansion is occurring in a market where EV adoption remains relatively low, with only 17,000 electric vehicles sold in Indonesia during 2023 1.

The investment demonstrates confidence in Indonesia’s EV market potential, which is supported by fundamental advantages including low electricity costs (USD 0.1/kWh compared to petroleum at USD 0.9/L) and a growing middle class with increasing purchasing power 2.

V-GREEN’s strategy aligns with broader regional growth projections, as the Southeast Asia electric vehicle charging equipment market is expected to grow from 14,330 units in 2025 to 43,050 units by 2030, representing a CAGR of 24.61% 3.

2️⃣ Innovative financial incentives driving rapid infrastructure development

V-GREEN’s business model in Indonesia offers remarkably high investment returns, guaranteeing up to 25% annual returns for the first three years, which explains how they’ve secured such substantial commitments from partners.

This aggressive financial approach significantly exceeds typical infrastructure investment returns, which traditionally range from 5-15% in developing markets 4.