Purbaya: Electric Vehicle Subsidies to Be Provided Starting Early June

Finance Minister Purbaya Yudhi Sadewa has assured that the government will provide subsidies for electric vehicles this year. The programme is targeted to commence in early June 2026. “The first 100,000 subsidies. If they run out, we’ll provide more. The same for electric motorcycles. We’ll give the first 100,000. How much? Rp 5 million,” said Purbaya during the APBN KiTa Press Conference at the Ministry of Finance Office in Central Jakarta on Tuesday, 5 May 2026. He explained that in the initial phase, subsidies will be allocated for 200,000 units of electric vehicles, comprising 100,000 electric cars and 100,000 electric motorcycles. For electric motorcycles, the subsidy amount is set at Rp 5 million per unit, while the subsidy for electric cars is still being discussed. According to Purbaya, the distribution scheme for the programme is still being finalised. The technical implementation announcement will be delivered by the Ministry of Industry and the Coordinating Ministry for Economic Affairs. He stated that this policy is part of efforts to drive short-term economic growth, especially in the third quarter of 2026. The government, he said, wants to ensure that all economic engines keep running, particularly from the demand side in the manufacturing sector.