Coordinating Minister Airlangga Finalises Electric Motorcycle Incentive Scheme

Jakarta (ANTARA) - Coordinating Minister for Economic Affairs Airlangga Hartarto has stated that the government is still finalising the incentive scheme for electric motorcycles and has prepared the budget. “The scheme is being finalised, but earlier the President already approved it. The budget is actually already available,” Airlangga said when met after the Press Conference on the Financial Note and the 2027 State Budget Draft at the Directorate General of Taxes Office in Jakarta on Friday. Airlangga conveyed that the electric motorcycle incentive will later be aligned with the electric motorcycle ecosystem that has been prepared. “For the products, one of them is Alva, the second is Gesits,” said Airlangga. President Prabowo Subianto previously announced the government will provide incentives for one million electric motorcycles produced domestically by Indonesian companies. He made the announcement during the presentation of the Government’s Statement on the Bill on the 2027 State Budget and its Financial Note in Jakarta on Friday. The President stated that the policy is part of efforts to accelerate the electrification of public mobility. He noted that the incentive policy for national electric motorcycle production has three objectives: reducing the cost of vehicles for the public, cutting the consumption of imported fuel, and strengthening the national electric motorcycle industry along with its supply chain, including batteries, components, software, and after-sales services. The President also mentioned that Indonesia already possesses almost all the elements required for the electric vehicle battery supply chain.