Electric Motorcycle Incentives Delayed Again, Here's the Ministry of Industry's Reason

KatadataOTO – Although it has been confirmed that the electric motorcycle incentive will be rolled out in August, the policy has not yet been implemented. This situation has caused the public to continue delaying the purchase of electrified vehicles.

Setia Diarta, Director General of Metal, Machinery, Transportation Equipment, and Electronics Industries (ILMATE), revealed that they still need to hold meetings with the Coordinating Ministry for Economic Affairs and other related ministries.

Only after that can they issue the Minister of Industry Regulation (Permenperin) regarding the provision of incentives for two-wheeled vehicles in the electric segment (electric motorcycles).

“Several things have been mapped out, but we must wait for directives from the President or through a Coordination Meeting (Rakortas) regarding the type of battery to be prepared. Then also how long the incentive will be given,” said Setia, as reported by Antara (07/08).

Photo : KatadataOTO

The Coordination Meeting is very important because it determines the amount of the incentive to be given. It will likely range from IDR 5 million to IDR 7 million per motorcycle.

“This depends on the directive from the Coordination Meeting, whether it will be IDR 7 million or IDR 5 million. Everything will follow the directive of the Coordination Meeting and the capacity of the Directorate General of Budget (DJA), Ministry of Finance,” said Setia.

After receiving a decision from the Coordination Meeting, he confirmed that the Minister of Industry Regulation will be prepared and then adjusted. They will cooperate with the Department of Population and Civil Registration (Dukcapil), Ministry of Home Affairs (Kemendagri) to synchronize the data.

“We also have to ensure the link with Dukcapil data and budget readiness. But all of that is already being done in parallel,” said Setia.

It was previously reported that Faisol Riza, Deputy Minister of Industry, would roll out incentives for electric motorcycles. The policy is planned to be announced in August 2025.

Photo : KatadataOTO

According to him, incentives for two-wheeled vehicles in the electric segment are greatly needed by the automotive industry. Because this policy can foster public interest in switching to more environmentally friendly vehicles.

However, the long delay in providing this policy has caused the public to continue postponing purchases. If this continues to drag on, it is the electric motorcycle manufacturers who will be at a disadvantage because their products are not being absorbed by customers.