Terms and Conditions for Electric Motorcycle Subsidy Up to IDR 7 Million
The Indonesian government through the Ministry of Finance, Ministry of Energy and Mineral Resources and Ministry of Industry has launched an electric motorbike subsidy program which will run from March 2023. Until now, the government continues to work out the terms and conditions regarding recipients and the types of motorbikes that will be involved.
However, on several occasions, the government has leaked several things regarding the subsidy scheme that will be implemented and its terms and conditions. So, what has the government notified?
Two Electric Motorcycle Subsidy Schemes
In distributing electric motorbike subsidies, there will be two schemes implemented by the government. The first scheme is aimed at petrol motorbikes being converted into electric motorbikes, while the second is for the purchase of new electric motorbikes.
In general, the two schemes have many similarities. For example, in terms of incentives, motorbike riders who convert their petrol motorbike or buy an electric motorbike will receive an incentive of IDR 7 million per unit. Apart from that, motorists will also be given convenience in processing their electric vehicle STNK.
The difference between the two schemes only lies in where the subsidy capital is budgeted from. For conversion electric motorbikes, incentives are distributed through the Ministry of Energy and Mineral Resources (ESDM). Meanwhile, for purchasing new electric motorbikes, incentives are distributed through the Ministry of Industry (Kemenperin). Both distributions are based on decisions from the Ministry of Finance (Kemenkeu).
Conditions for New Electric Motorcycle Subsidies
Until now, the government is still working on regulations regarding the conditions for subsidies for the purchase of new electric motorbikes. However, at the 2023 Indonesia International Motor Show (IIMS) yesterday, representatives from the Ministry of Industry revealed that subsidies are not intended for everyone. The government will filter and prioritize people with limited budgets.
In addition to the conditions for subsidy recipients, the government also sets conditions regarding what types of motorbikes will be subsidized. The government will only provide subsidies for purchasing motorbikes that meet TKDN standards, aka motorbikes produced domestically. The aim is for the domestic automotive industry—especially electric-powered automotive—to develop further.
Subsidy Conditions for Convertible Electric Motorbikes
In addition to providing conditions for motorbike riders who want to buy a new electric motorbike, the government also provides information about the conditions for subsidies for converted electric motorbikes. So far, the conditions referred to refer to the type of motorbike that will be converted and how the conversion will be carried out. The following are details regarding subsidies for converted electric motorbikes:
1. Motor age
First, you have to pay attention to the age of the motorbike whose engine you want to convert. Motorbikes cannot be more than 10 years old when they are converted to electric motorbikes. The reason is, the motorbike will be tested again after the conversion is complete. The hope is that the converted motorbike will have performance like a new motorbike.
2. Motorcycle engine capacity
The next subsidy requirement for converted electric motorbikes is that electric motorbikes have an engine capacity of 100 to 125 cc. This capacity was chosen because it is considered the capacity of motorbike engines that are commonly available on the market.
3. Drive motor capacity
The converted electric motor will have a drive motor with a power of around 3-5 kW. So, subsidy recipients will not get a motor that is larger or smaller than that number range.
4. Electric battery capacity
Finally, the converted motorbike will get a lithium battery with a capacity of around 1.2 kWh, up to 1.5 kWh. This capacity distribution is carried out so that training and certification carried out in selected workshops can be carried out easily.
These are some things Drivemate needs to know about electric motorbike subsidies, which is a government program for electrification of transportation. Apart from electric motorbikes, the government will also provide subsidies for cars and public transportation such as buses. However, until now the conditions and implementation are still being developed so that they can benefit society and the electric transportation industry in Indonesia.
The hope is that electrification of transportation can reduce the use of petroleum-fueled transportation such as petrol or diesel. Apart from reducing the level of air pollution, the aim of this electrification is so that the government can reduce the petroleum import budget which is said to continue to swell.
So, does Drivemate intend to buy an electric motorbike or convert an existing motorbike?