The Official Car Budget for Echelon I Officials Increased to Rp 931 Million

The budget for official vehicles of Echelon I officials has risen to IDR 931.684 million to align with market prices.

The Official Car Budget for Echelon I Officials Increased to Rp 931 Million
author image

KatadataOTO – The Ministry of Finance has stipulated that echelon I officials can receive a new official car with a maximum value of IDR 931.648 million. This is stated in the Minister of Finance Regulation (PMK) Number 32 of 2025 concerning Input Cost Standards (SBM) for the 2026 Fiscal Year.

This figure is an increase from the previous year's IDR 878.913 million.

“So, we determined this cost based on the average market price. The increase is due to considering the procurement of electric cars with specifications according to regulations,” explained Lisbon Sirait, Director of the Budgeting System at the Directorate General of Budget of the Ministry of Finance, as reported by Antara.

Despite the increase, his party does not ignore the principle of efficiency in state financial management. The government continues to enforce a policy of limiting the procurement of official cars and encourages the optimization of existing facilities.

Electric Car Prices April 2025, BYD Seal Drops by IDR 9 Million
Photo : KatadataOTO

He also added that the cost standards in PMK Number 32 of 2025 are not an instrument to control waste but rather a reference for unit costs that reflect current market conditions.

“The government has a procurement policy but by optimizing existing transportation. There are even restrictions regarding official vehicles from the government,” he then said.

The PMK SBM for the 2026 Fiscal Year was signed by Sri Mulyani Indrawati, Minister of Finance, on May 14, 2025, and came into effect after being promulgated on May 20, 2025.

This regulation serves as a reference in the preparation of ministry/agency budgets for 2026.

PMK 32 of 2025 confirms that this rate is an upper limit that cannot be exceeded.

“The Input Cost Standards for the 2026 Fiscal Year are an upper limit as referred to in Article 2 letter a, listed in Appendix I, which is an inseparable part of this Ministerial Regulation,” states the regulation in Article 3 Paragraph 1.

Supporting the Development of Electric Vehicles

Official Cars Now Required to Have 25 Percent TKDN, Here Are the Rules
Photo : Instagram/PT_Pindad

Not only that, government officials are also asked to use locally produced electric vehicles. In addition, the Domestic Component Level or TKDN must be at least 25 percent.

This is done to protect companies that have invested in Indonesia so they can survive and feel secure in doing business in the country.


Latest

car
MG

MG Sets Modest Sales Targets for 2026

Sales are trailing competitors, and MG declined to elaborate on its sales target for 2026.

car
Chery

Getting to Know Chery's Hybrid Car Options in Indonesia

Chery hybrid cars offer more benefits to consumers in Indonesia, making them a popular choice.

news
Muffler crackdown

Operation Keselamatan Jaya 2026 Launched, 9 Violations Targeted

The Police launched Operation Keselamatan Jaya 2026 to curb the number of accidents and traffic violations on the roads.

motor
Yamaha

Yamaha's Hope to Increase New Motorcycle Sales in Indonesia

Yamaha is confident that the target set by AISI can be achieved this year, with several conditions.

car
Reza Arap's Vehicle Collection

Reza Arap's Vehicle Collection, from Vintage Vespas to Toyota FT 86

Toyota FT 86, Vespa Corsa 125, and Toyota Alphard are three of Reza Arap's many vehicles.

news
Fuel Price

Shell and Vivo fuel prices simultaneously drop in February 2026.

Shell, BP AKR, and Vivo lowered fuel prices for the February 2026 period by varying amounts.

car
Toyota

Sales Decline in Indonesia Draws Attention from Toyota Japan

Toyota Motor Corporation is paying closer attention to its sales in Indonesia, which have significantly declined.

car
Toyota Sales

Toyota Set to Become World's Best-Selling Manufacturer in 2025, Breaks New Record

Toyota group sales break a new record and become the world's best-selling manufacturer in 2025, surpassing Volkswagen.