Electric Motorcycle Conversion to Receive Incentives? This Is What Bahlil Says

Jakarta — Indonesia’s Energy and Mineral Resources Minister Bahlil Lahadalia is preparing a long-term strategy, particularly aimed at reducing fuel consumption. One key element involves accelerating the conversion to electric vehicles.

Bahlil revealed that the government plans to provide various incentives to encourage the public to switch from petrol-powered vehicles to electric vehicles, following increased uncertainty in global energy supply and rising crude oil prices worldwide.

“This conversion is part of a strategy to shift vehicles, particularly motorcycles and cars, from petrol to battery. This is a long-term approach to reduce our pollution as well, because this is part of renewable energy,” Bahlil said at the Energy and Mineral Resources Ministry on Monday (9 March 2026).

He assured that the government would be present to share the burden with the public during the transition from petrol to electric motorcycles. The government will also prepare various incentives in this transition process.

“Of course, the state will be present to share the burden with the public when switching from petrol to electric motorcycles. There will certainly be some sort of sweetener,” Bahlil said.

Beyond promoting the electric vehicle conversion programme, the ministry will also accelerate the use of biofuels by increasing biodiesel and bioethanol blending ratios. The government plans to boost the application of biodiesel with higher blending of up to B50 and promote E20 bioethanol application for petrol-type fuel.

“Because if fossil fuel prices could exceed US$100 per barrel, it would be cheaper if we do blending. For diesel, from B40 now becoming B50. Or we could make it mandatory for petrol and that is cleaner,” he said.