When Will the Rp5 Million Electric Motorcycle Subsidy Take Effect? Here's the Industry Minister's Explanation

Industry Minister Agus Gumiwang Kartasasmita said he is still waiting for the Ministry of Finance to implement the incentive subsidy for purchasing new electric motorcycles. The value is Rp5 million per unit.

“We are waiting for the PMK (Minister of Finance Regulation). Waiting for the PMK. You know where the PMK is, just ask the person in charge,” said Agus Gumiwang at the Presidential Palace Complex on Monday (17/8/2026).

He explained that the Ministry of Industry is ready to implement the incentive. This is because the fiscal incentive falls under the purview of the Ministry of Finance.

“We are ready, the Ministry of Industry as the technical ministry is ready. We are just waiting for the PMK. Once the PMK is completed, then we will adjust,” he said.

Later, the electric motorcycle brands included in the purchase incentive will come from the Ministry of Industry, Danantara, and the Ministry of Finance.

Previously, Finance Minister Purbaya Yudhi Sadewa revealed plans to provide incentives in the form of subsidies for new electric motorcycles, worth Rp5 million per unit for 100,000 units. The incentive was planned to be implemented in June 2026, although it has not yet been realised.

“So, regarding electric motorcycles and cars, I have already discussed with the Industry Minister and the Coordinating Minister for Economic Affairs. The budget is still being calculated, but it varies. For motorcycles, it is approximately Rp5 million per motorcycle, Rp5 million per motorcycle for 100,000 motorcycles,” said Purbaya during a press conference in Jakarta on Thursday (7/5/2026).

Meanwhile, for electric cars, the incentive will be in the form of value-added tax (VAT) exemption, but with a specific scheme. The quota provided for the electric car incentive is 100,000 units.