The Ministry of Industry has broadened the scope of its electric motorcycle subsidy program, allowing the general public to own electric motorcycles, subject to the condition of one unit per National Identification Card (KTP). Subsidy recipients will receive a IDR 7 million discount from the original price of an electric motorcycle.
This expansion is governed by Ministerial Regulation (Permenperin) No. 21 of 2023, which amends Permenperin No. 6 of 2023, providing guidelines for government assistance for the purchase of battery-based electric two-wheeled motor vehicles (KBLBB).
Previously, subsidies for electric motorcycles were limited to specific groups, including micro, small, and medium enterprises (UMKM) receiving micro-business credit (KUR), recipients of productive micro-business assistance (BPUM) and wage subsidy recipients, as well as recipients of 450 VA and 900 VA electricity subsidies.
“The primary basis for this policy change is to accelerate the development of the domestic electric vehicle ecosystem and to make Indonesia a cleaner nation,” stated Minister of Industry Agus Gumiwang Kartasasmita.
The public can purchase subsidized electric motorcycles from dealerships that are in collaboration with the government. The list of these dealerships can be found on the landing.sisapira.id website. Dealers will verify the National Identification Card (KTP) and the Population Registration Number (NIK) before the purchase.
According to the Ministry, there are 25 motorcycle models ranging from under IDR 10 million – above IDR 25 million. About 7 motorcycle models under IDR 10 million, 9 motorcycle models between IDR 10-15 million, 5 motorcycle models between IDR 15-25 million, and 4 motorcycle models above IDR 25 million.
Meanwhile, buyers are eligible for the subsidy after a successful verification process. However, the uptake of subsidized electric motorcycles is still far from the target.
The government by now has allocated subsidies for 200,000 motorcycles this year, but as of Wednesday, September 20, 2023, only 836 subsidized electric motorcycles have been distributed.