The Latest on Electric Motorcycle Subsidies in the Prabowo Era

KatadataOTO – President Prabowo Subianto and his ministers have indeed stated that they will provide incentives for hybrid and electric cars in 2025.

Meanwhile, the fate of the electric motorcycle subsidy has not yet found a clear path. Until now, it remains just a discourse.

However, the latest news from AISI (Indonesian Motorcycle Industry Association) mentions that this assistance will be given to the people in the country.

“We are waiting for the implementation guidelines (juklak) for the electric motorcycle subsidy. Reportedly, incentives will be given, just like last year,” said Sigit Kumala, Head of the Commercial Division of AISI, when contacted by KatadataOTO.

Photo : Special

However, Sigit does not yet know for sure about the form of assistance that will be provided by President Prabowo for the purchase of electric two-wheeled vehicles.

Nevertheless, he considers the existence of the electric motorcycle subsidy to be quite important. This is so that the offered price can be more affordable.

“The price of the battery is still expensive, so it certainly still needs a subsidy from the government. Otherwise, the selling price will be high,” he continued.

Sigit also encourages manufacturers of electric two-wheeled vehicles to increase the Local Content Level (TKDN) like conventional motorcycles.

This is expected to create job opportunities for the community and help small industries in the country.

If everything goes according to plan, the automotive sector can automatically make a significant contribution to Indonesia's economy in 2025.

Ministry of Industry Has Given a Signal

As a reminder, the Ministry of Industry (Kemenperin) previously claimed to have started coordinating with relevant parties regarding the provision of electric motorcycle subsidies.

“God willing, there will be, we will try to help the community and the environment,” said Faizol Riza, Deputy Minister of Industry.

Unfortunately, he was still reluctant to disclose what form the electric motorcycle subsidy will take. Whether it will be the same as last year or not.

Photo : Honda Global

For your information, in 2024 the government provided assistance in the form of a Rp 7 million price cut for every purchase of a Honda EM1 e:, Alva Cervo, and others.

The provisions regarding the provision of incentives for electric two-wheeled vehicles are stipulated in Permenperin or Minister of Industry Regulation Number 21 of 2023.

Meanwhile, citing the official SISAPIRa website, 60,725 subsidized electric motorcycles have been received by the public from January to December 2024.