Malaysians show lukewarm love for electric bikes

 

PETALING JAYA: While the Malaysian market has been wowed by many exciting new electric car models recently, the same cannot be said about the two-wheeled market, which is still dominated by petrol-driven motorcycles and scooters.

Previously known as the Malaysia Automotive Institute, MARii – an agency under the Investment, Trade and Industry Ministry – has been dangling a financial carrot for the purchase of selected electric two-wheelers here through its MariiCas rebate, a RM2,400 rebate given to those earning up to RM120,000 a year.

Other than being in the “correct” income bracket, the applicant must also own a motorcycle licence to enjoy the incentive announced in 2023, with the rebate available throughout 2024 and 2025.

The rebate only covers two-wheelers from nine manufacturers: Ni Hsin EV Tech Sdn Bhd, Tree Movement Malaysia Sdn Bhd, M Electric Vehicle Sdn Bhd, Legatus Sdn Bhd, Superlux Auto Sdn Bhd, Oyika Green Technologies Sdn Bhd, Eclimo Sdn Bhd, EP Blueshark Sdn Bhd and Sunlight Power Sdn Bhd.

Despite the incentive, motorcycle users here are not really embracing it for a variety of reasons. MARii did not respond to The Star’s question on the number of applications it received for the MARiiCas rebate.

For motorcycle reviewer A. Nachi, current electric two-wheelers are mainly urban mobility vehicles because of their short range and low top speeds.

“Even with a bike from BMW, the range is around 100km or so. This causes me a lot of stress when it comes to charging the vehicle.

“If there is a three-pin socket at any parking lot, it is mainly for ancillary purposes, such as to run cleaning equipment like vacuum cleaners and so on, and not really for vehicle charging.

“This is assuming charging is even allowed in the first place,” said the marketing manager, who owns two petrol-driven motorcycles.

Nachi insisted that range is the first and foremost factor that is holding back the market.

“Even the design and performance of the bike is secondary to range.

“When range is taken care of, people will then look at the rest,” he added.

The need for speed and range imposes a huge challenge to motorcycle manufacturers, who generally want to make two-wheelers as light as possible.

Putting in a large battery to provide the needed range would make it hard to balance weight, volume, range and eventual handling.

“The obsession of manufacturers is to make things as light as possible. With a huge battery, where do you shave off the weight then?” said Nachi.

Another automotive analyst, Hezeri Samsuri, said the lack of range was accompanied by relatively high costs and questionable savings.

“Our motorcycles cruise at higher speeds than the ones in neighbouring countries, hence the range drops (more quickly). Plus, motorcycles use so little fuel, so the savings you get from an electric bike is not significant,” he said.

Long-time industry observer Datuk Jeffrey Lim agreed that users will continue to place range as the primary consideration.

“I believe when battery technology improves further, there will also be environmental considerations, such as final disposal, other than range and weight,” said Lim, who is in the motorcycling assembly and importing industry.

Fleet owners are not letting the apparent shortcomings deter them from taking the leap.

As far back as 2015, QSR Trading Sdn Bhd was already using a fleet of electric scooters for its in-house delivery riders for Malaysia’s KFC and Pizza Hut products.

Starting with 50 scooters, the company said on its website that it currently owns 275 electric scooters as it aims to manage its carbon footprint.

National courier Pos Malaysia recently announced a deal to lease more than 1,000 new electric scooters from Syarikat dan Enjin Nasional Sdn Bhd (Modenas) to solidify its position as Malaysia’s largest electric fleet owner.

“Pos Malaysia is proud to announce its latest sustainability initiative with the addition of 1,092 units of electric motorcycles to its fleet.

“This move is a collaboration with Modenas, showcasing a group-wide commitment to delivering cleaner and greener services for a better tomorrow,” it said in a statement following the handover ceremony earlier this month.It added that this fleet expansion supports its commitment to full electrification of its first-and last-mile delivery fleet by 2030.

“These motorcycles will be delivered in batches and join the company’s existing fleet of electric vehicles, including 220 electric motorcycles and 143 electric vans,” said Fiona Liao, Pos Malaysia group chief marketing, communications and sustainability officer.

DHL Express Malaysia is another example in the logistics industry, adding nine Blueshark R1 electric scooters in November 2023 to its delivery fleet of 56 electric vans.

“These two-wheeled drives are currently deployed across facilities in Kuala Lumpur, Selangor, Penang, Melaka, Perak and Sarawak,” said Julian Neo, managing director of DHL Express Malaysia and Brunei, in a statement to The Star.

“We are set to increase the share of EVs to 23% by year-end, putting us squarely on track to achieve our group-wide 60% target by 2030.

“Owing to the nature of our business in the time-definite international logistics sector and the types of cargo we carry, our priority is to accelerate the electrification of our ground transport.“In this regard, we are pleased to share that all forklifts in use at our facilities are fully electric, with our tow tractors also on their way towards the same goal,” Neo said, adding that DHL remains vigilant to the latest offerings in the market to get the best solution.

Local motorcycle assembler Boon Siew Honda Sdn Bhd said it is committed to achieving carbon neutrality through its products and corporate activities by 2050, and is open to introducing electric models locally.

“We are in the planning stage and no concrete timeline is set to when it will be available – both assembly and/or introduction in Malaysia,” it told The Star.

Meanwhile, Modenas confirmed that it will be launching an affordable electric two-wheeler in the first quarter of 2025.

For Nachi, individual users will likely adopt a wait-and-see posture as the market evolves.

“No one knows the future of batteries. Currently, electric two-wheelers are more of a lifestyle thing, and not for interstate jaunts.

“Mass adoption will take a lot of time. By this, I am referring not just to Malaysia,” he said.

A list of two-wheelers eligible for the rebate is found at https://insentif.marii.my/mariicas.