Automotive Expert Suggests Larger EV Incentive Quota for Motorcycles than Cars in 2026

Jakarta (ANTARA) - Automotive industry expert from Bandung Institute of Technology (ITB), Agus Purwadi, believes that the electric vehicle (EV) incentive scheme in 2026 should allocate a larger quota for electric motorcycles than for electric cars. According to Agus, this approach would be more suitable to the economic conditions of the population and more targeted, as motorcycle users largely come from the lower-middle class and still use subsidised fuel. “In the current economic conditions and purchasing power of the people, it would be good if the quantity for motorcycles, which have many users from the lower-middle class and use subsidised fuel, is larger than for cars, whose user segment is relatively middle-to-upper class,” said Agus when contacted from Jakarta on Tuesday. This view was expressed in response to the government’s plan to prepare EV incentives with details of 100,000 units each for cars and electric motorcycles this year. He considers a larger portion of incentives for electric motorcycles to be more appropriate, compared to the electric car segment which tends to target the middle-to-upper class segment. “For cars, 100,000 units are also needed to be segmented to ensure they are targeted, and the number can be adjusted to increase the portion for the motorcycle segment,” he stated. Agus also believes that electric vehicles already being assembled in Indonesia deserve larger facilities. According to him, such a policy would help drive domestic economic activity and strengthen the local industry. “The segment that has started to be assembled in Indonesia should be given more facilities to stimulate the domestic economy as well. The portion for motorcycles should be made larger by reallocating incentives from the car portion, which tends to be for the needs of the middle-to-upper class segment,” said Agus. Finance Minister Purbaya Yudhi Sadewa in Jakarta on Tuesday stated that the government will prepare EV incentives, with details of 100,000 units each for cars and electric motorcycles this year. Regarding the subsidy amount, he estimated it would be around Rp5 million for electric motorcycles. However, the exact figure for this EV stimulus will be announced in more detail with other relevant parties. This is relevant to efforts to curb fuel oil (BBM) consumption and reduce the government’s energy subsidy burden amid rising global oil prices.