According to reporting from Antara News, Dadan Kusdian, Indonesia’s Secretary General of the Ministry of Energy and Mineral Resources has announced that the government has prepared USD 455 million to provide subsidies for electric motorcycle purchases.

“The subsidies will cover the purchase of 800,000 new electric motorcycles and the conversion of 200,000 combustion motorcycles,” he said in a statement from his ministry on Thursday (23/5/24.)

He made the statement at the IEA 9th Annual Global Conference On Energy Efficiency in Nairobi, Kenya, on Wednesday (22/5/24,) reports Antara News.

Kusdiana highlighted a price gap between electric vehicles and conventional vehicles. To lower the price disparity, he said, the government is providing tax incentives and subsidies for electric cars, hybrid cars, and electric motorcycles, adding that the Indonesian government is targeting two million electric cars and 13 million electric two-wheeled vehicles to be on the roads by 2030.

The Ministry of Energy and Mineral Resources is continuing to accelerate the development of supporting infrastructures to build the electric vehicle ecosystem, he said. The government continues to increase the construction of public electric vehicle charging stations (SPKLUs). It is estimated that 32,000 SPKLUs need to be available by 2030 to meet demands.

In addition to building charging stations, the availability of home charging is deemed important. To facilitate it, state-owned electricity company PT PLN offers incentives, such as special prices for electrical system upgrades and discounts for overnight charging rates, says Antara News.

These measures are taken to encourage more people to use electric vehicles by making charging convenient and cost-effective.

Antara News reports that the government also acknowledges the significant contribution of road transport to CO2 emissions by developing fuel-saving standards for heavy vehicles as the key to reducing emissions in the short and medium term.

According to Kusdiana, to reduce transportation emissions, in 2024, the government has allocated 11.8 million tons of biodiesel along with the launch of a blend of 35 percent palm oil for biodiesel, known as B35.

He added that this program can reduce greenhouse gases by 34.9 million tons of CO2.


Source: Antara News

Stock image by Julius H. from Pixabay

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