To Chase the Production of 1 Million Electric Motorcycles, Prabowo is Preparing Incentives for Local Industries

Electric motorcycle (inter)

JAKARTA - President Prabowo Subianto stated that he would provide a large incentive for Indonesian companies that are able to produce up to 1 million electric motor units in the country.

The policy was conveyed in the Government's Introduction/Explanation of the Bill on the 2027 Budgetary Year APBN, along with the Financial Note and Supporting Documents, Friday, August 14.

"Today we announce, we will give a considerable incentive to those who can build one million electric motorcycles produced domestically by Indonesian companies," he said.

According to Prabowo, the incentive policy has a number of strategic objectives, namely first, encouraging the price of electric vehicles to be more affordable for the public.

Secondly, reducing Indonesia's dependence on imported fuels and third, strengthening the national electric vehicle industry and its supply chain, ranging from batteries, components, software, to after-sales services.

Prabowo is optimistic that the transition to electric vehicles can help Indonesia increase energy efficiency nationally.

In addition, he assessed that Indonesia has most of the resources needed to develop electric vehicle batteries.

"We have almost everything. Elements in the battery for electric vehicles, almost everything," he explained.

He also emphasized that the use of electric motorcycles provides a number of benefits for the community and the country besides reducing household expenses, electric vehicles are considered to reduce the consumption of imported energy while creating jobs and increasing the income of the Indonesian people.

Prabowo estimates that the cost of using electric motorcycles can be lower than that of fuel-powered vehicles (BBM).

The savings, according to him, have the potential to reach more than 50 percent, even the operational costs can be reduced by around 30 percent from current expenditures.

"It can even go down to only 30 percent of the cost they spend. Reducing energy imports, and most importantly, jobs and income for Indonesian children," he said.