JAKARTA - The government has ensured that the battery-based electric motorcycle purchase subsidy program will be rolled out again starting June 2026. This policy is prepared to encourage economic growth in the automotive sector while accelerating the transition to cleaner energy use in Indonesia.
In this latest program, the amount of assistance provided is set at IDR 5 million for each electric motorcycle unit. This figure is lower than the previous scheme which reached IDR 7 million per unit.
The government said the adjustment of the subsidy value was carried out after going through an evaluation process so that the coverage of recipients could be wider but still pay attention to the efficiency of state budgets.
"Electric motorcycles are the same, the first 100 thousand we will give. How much subsidy, Rp5 million," said Finance Minister Purbaya at the APBN KiTa press conference in Jakarta, quoted Thursday, May 7.
Purbaya added that the government was still discussing the details of the subsidy mechanism with the Ministry of Industry. However, he ensured that the incentive was prioritized for pure electric vehicles or electric vehicles (EV), not hybrid models.
"So the PPN that was paid for by the government was 100 percent, there was 40 percent, later it was still being discussed. That is for the main EV, which is not hybrid. Later, the battery based on nickel and non-nickel will be different. But that later, later the Minister of Industry," he explained.
Through this program, the government hopes that the national automotive industry can move more aggressively, while increasing people's purchasing power and creating new jobs in the electric vehicle sector.
On the other hand, the use of electric motorcycles is also considered to be able to help reduce exhaust gas emissions because it does not depend on fossil fuels like conventional vehicles.
Not only electric motorcycles, the government is also preparing incentives for electric cars. However, until now, the format and mechanism for granting subsidies are still in the stage of further discussion.
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