Regarding Incentives for 6 Million Electric Motorcycles, Purbaya: Not All at Once, Gradually!

Finance Minister Purbaya Yudhi Sadewa has proposed that the incentive programme for electric motorcycles could be implemented this year. The incentives, which in the initial phase of the programme are targeted to cover around 6 million units of those motorcycles, are planned to be disbursed gradually. “I propose that we give (the incentives) for the new ones first. The first target is 6 million motorcycle sales, but not all at once. We’ll see it gradually. But for the new ones, we’ll try to create the programme,” said Purbaya, quoted on Monday, 27 April 2026. He explained that the programme is still in the study phase and will be discussed further 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 potentially subject to change as the policy is finalised. “It has been discussed. The number of motorcycles to be subsidised will still be considered, and we want to show what it will look like,” said Purbaya. “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 according to the instructions at that time,” he added. 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 to electric ones 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.