Happy News! Government Will Give Electric Motor Subsidy IDR 6.5 Million Next Year

Photo: Doc. Antara

YOGYAKARTA - The government plans to provide electricity motor subsidies of IDR 6.5 million next year.

This information was conveyed by the Coordinating Minister for Maritime Affairs and Investment (Menko Marves) Luhut Binsar Pandjaitan.

Luhut said the government is currently preparing incentives in the form of subsidies for purchasing electric vehicles, both motorbikes and electric cars. This is done to encourage people's purchasing power to own cars and electric motors.

Luhut said that currently the government is finalizing regulations for subsidizing around Rp. 6.5 million for purchases per unit of electric motorcycles.

Luhut added, a similar subsidy scheme is also being prepared for the purchase of an electric motorcycle.

"The motorcycle subsidy is finalizing how many million we want to give subsidies, maybe Rp 6 million for motorcycles. In Thailand it is Rp 7 million, maybe Rp 6.5 million for us, around that much," said Luhut at the Welcome Stronger Investment Post-Pandemic event, quoted Wednesday, November 30, 2022.

"How many million cars do we want to give," he continued.

However, Luhut did not elaborate in more detail on the mechanism for providing subsidies. What is clear is that the provision of subsidies for the purchase of electric vehicles is more profitable than providing subsidies for fuel oil (BBM).

"We will still calculate that we will profit from using an electric motorcycle rather than a fossil motorcycle as well as a car," he said.

Not only that, the use of electric vehicles will also improve air quality. This is because electric vehicles do not produce pollution such as fossil vehicles or fuel.

The water quality in Jakarta will definitely improve because there is no more smoke from the transportation car, from the motorcycle, from the car it will definitely decrease. For us to be healthier. If you have asthma, it will be healthier. So use it (electric vehicle)," Luhut asked.

Luhut said that vehicle manufacturers were starting to get overwhelmed because of the large number of orders for purchases of electric vehicles. Meanwhile, electric motors still have to wait next year.

"If the motorcycle, later when it arrives next year, just start changing it to an electric motorbike, it will get subsidies," said Luhut.

Use of Electric Motors Can Save Expenditures

Previously, Minister of Energy and Mineral Resources Arifin Tasrif said that the use of electric vehicles, whether cars or motorbikes, would save expenses.

"The results of the trial of converting electric motorcycles over 10 years that we have done are if we use fuel for 30 KM, we will spend 1 liter of fuel. For example, Pertalite costs Rp. 10,000, but if it is replaced with an electric motorbike it only requires 1 Kilo Watt electric power which costs Rp. 1,600. Don't forget that the fuel motors every year have to replace the oils for approximately Rp. 2-2.5 million per year, with electric motors it doesn't exist anymore, "said Arifin, referring to VOI.

Furthermore, the use of electric cars will save fuel and maintenance costs of IDR 17.62 million per year. Benefits for the Government for 1 million electric cars, suppress imports of 1.5 million kilo liters of fuel, save foreign exchange of IDR 13.02 trillion, reduce CO2 emissions of 3.21 million tons per year, and increase electricity consumption of 2.2 TWh per year.

That's information about the electric motorcycle subsidy of IDR 6.5 million. To get news up to date, keep listening VOI.id