Minister proposes electric motorcycles incentive starting 2026

hartono · Apr 25, 2026

Finance Minister Purbaya Yudhi Sadewa during media briefing in Jakarta, Friday (April 24, 2026). /ANTARA/Bayu Saputra.

Jakarta (ANTARA) - Finance Minister Purbaya Yudhi Sadewa has proposed an incentive program for electric motorcycles to be implemented this year.

The incentives are planned to be rolled out in stages, initially targeting around 6 million motorcycles.

“I propose that we introduce new incentives first, targeting 6 million motorcycle sales, but not all at once. It will be done gradually. We will try to design a program for new units,” he said at a media briefing in Jakarta on Friday.

The minister said the program is still under review and will be discussed further with Industry Minister Agus Gumiwang Kartasasmita and Coordinating Minister for Economic Affairs Airlangga Hartarto.

Initial studies suggest a subsidy of around IDR 5 million per unit, although the figure may change depending on policy decisions.

“It has been discussed. The number of motorcycles to be subsidized is still being considered. I am still coordinating with the Minister of Industry and the Coordinating Minister for Economic Affairs, and we will report to the President in line with his instructions,” he said.

According to Sadewa, the incentives are part of the government’s broader plan to replace conventional motorcycles with electric ones.

This policy aligns with the government's target of gradually converting around 120 million gasoline-powered motorcycles to electric ones within 3-4 years.

The program, promoted by President Prabowo Subianto, aims to accelerate the transition to clean energy and reducing the burden of fuel subsidies.