Purbaya proposes electric motorcycle incentives be implemented this year

Jakarta (ANTARA) - The Minister of Finance, Purbaya Yudhi Sadewa, has proposed that the incentive programme for electric motorcycles be implemented this year.

The incentives are planned to be disbursed gradually. In the initial phase, the programme is targeted to cover around 6 million motorcycle units.

Purbaya explained that the programme is still in the study phase and will be further discussed with the Minister of Industry, Agus Gumiwang Kartasasmita, and the Coordinating Minister for the Economy, Airlangga Hartarto.

The initial study points towards providing subsidies of around Rp5 million per unit. However, the amount is still subject to potential changes during the policy finalisation process.

“It has already been discussed. The number of motorcycles to be subsidised will still be considered, and we want to show what it will look like. But clearly, I will first discuss it with the Minister of Industry, the Coordinating Minister (for the Economy), and we will report back to the President in accordance with the instructions at that time,” he said.

Purbaya stated that the incentives are being prepared as part of the government’s plan to replace all conventional motorcycles in Indonesia with electric motorcycles.

This policy aligns with the government’s target to gradually convert around 120 million petrol-fuelled motorcycles into electric motorcycles over the next three to four years.

The programme, promoted by President Prabowo Subianto, aims to accelerate the transition to clean energy while reducing the burden of fuel subsidies.