It’s been the topic of interest for many in the last few months, and now Indonesia’s Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif, has announced that the government will start introducing incentives for the purchase of electric motorcycles in March 2023, which he announced would amount to IDR 7-million for electric motorbikes, say Tempo.
The Minister said at the Coordinating Ministry for Maritime Affairs and Investment office that the incentives for electric cars would be in the form of tax incentives.
Meetings between the Ministry of Transportation, the Coordinating Ministry for Maritime Affairs and Investment, and the Ministry of Energy and Mineral Resources to discuss incentivizing people to go electric were aimed at achieving the goal of Net Zero Emissions (NZE) in the country.
“Earlier, we discussed the implementation of electric vehicle (EV) subsidies. [We expect the implementation to start] in March,” Arifin said after the closed meeting, report Tempo.
The subsidies will be provided for new battery-powered motorbikes and conventional motorbike conversion. The Transportation Ministry targeted 50,000-motorcycles to be converted into electric ones this year. The government also eyed opening 1,000-certified workshops to support the implementation of motorbike conversion in Indonesia, say Tempo.
“We agreed that at least 1,000-workshops (of conventional motorbike conversion are opened) throughout Indonesia,” said Transportation Minister Budi Karya Sumadi on the same occasion.
In this electric motorcycle conversion project, the Industry Ministry proposed a Domestic Component Level (TKDN) of 40-percent in the early stage. The TKDN figure will then be hiked within three years.