Govt to Revise Incentives Policy for Electric Motorcycle Purchase, Moeldoko Says

TEMPO.CO, Jakarta - The Indonesian Electric Vehicle Industry Association (Periklindo) chairperson Moeldoko did not deny the public’s low interest in the incentive of the purchase of electric motorcycles. He said that, therefore, the government is mulling to revise the requirements to obtain the subsidy.

“Subsidies accompanied by requirements are not attractive, so we will change and abolish them,” Moeldoko said when met at The Westin Jakarta on Wednesday, July 12, 2023.

The government grants incentives for the purchase of electric motorbikes since March 20 amounting to Rp7 million per unit. This assistance is valid for two years in 2023 and 2024 for 1 million new electric two-wheelers and motorbike conversions.

The incentives are for micro, small, and medium enterprises (MSMEs), people under the microcredit program (KUR), recipients of micro business productive assistance (BPUM), recipients of wage subsidies, and recipients of electricity subsidies of 450 to 900 VA.

Moeldoko, who also serves as Presidential Chief of Staff, assessed that the requirements hindered the community to participate in this program so the uptake of the incentives remains low. 

According to the information system of the purchase of two-wheeled electric motorized vehicles (Siapira), the government has only distributed incentives for the purchase of 36 electric motorbikes out of 200,000 available quotas as of Wednesday, July 12, 2023.

On the other hand, Moeldoko hoped that the revised conditions will not trigger people to think that the incentive program for the purchase of electric motorcycles is for the rich. He also said the revision plan will be discussed at a meeting next week chaired by Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan.

RIANI SANUSI PUTRI

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