Indonesia is hoping to reach zero emissions by 2060 and reduce its carbon footprint by 29% by 2030. One way they plan to tackle this challenge is to put two million electric motorcycles on the road by 2025.
The new ambitious goal for the country was announced by the transportation minister, Budi Karya Sumadi, who during a Federal Group Discussion (FGD) in Jakarta on October 4, 2022, said: “The number of motorcycle users in Indonesia is around 133 million. There are about five million requests coming in every year, while the number even reached 10 million before the pandemic. The market is huge, and this can become a game changer to accelerate the transition. We hope that this subsidy will decrease along with the increasing number of electric vehicle users. We can use the money from fuel subsidies to build this nation.”
Sumadi laid out three key requirements that could help jumpstart the switch to electric motorcycles: Increasing the number of charging stations or increasing easy access to battery swap stations; ensuring the production of quality electric motorcycle batteries; and ensuring the quality of the motors found in electric motorcycles.
“There are 35 electric motorcycle companies compared to three car companies,” explained Presidential Special Staff Diaz Hendropriyono. “The price is also more competitive. This means that we can encourage the adoption of electric motorbikes to meet the President’s target of 2 million electric motorbikes by 2025.”
Focusing on electric two-wheel mobility could bring another advantage to Indonesia’s savings — they could stop subsidizing fossil fuels so much. Budi said, “We hope that this subsidy will decrease along with the increasing number of electric vehicle users. We can use the money from fuel subsidies to build this nation.”
The fewer fossil fuel–dependent vehicles on Indonesian roads, the less in subsidies the government will have to pay, and it can divert those funds to more urgent matters, according to the official.
“I believe there is an equilibrium that will come faster with the synergy and collaboration of the government, universities, industry players, and the community,” summed up Budi.
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