Indonesia Set to Subsidize Electric Motorcycle Purchases
Source: https://jalopnik.com/indonesia-set-to-subsidize-electric-motorcycle-purchase-1849831416
Author: Ryan Erik King
CleanTechnica reports that Indonesia is aiming to reduce its carbon emissions by 29 percent by 2030 and be carbon neutral by 2060. The Indonesian government feels that electrification, phasing out its fuel subsidy and investing in sustainable energy will help hit that target. The country already has a burgeoning domestic electric motorcycle industry with dozens of manufacturers. The government hopes to encourage local battery production and funding infrastructure project to increase the number of charging stations with the funds previously used for the fuel subsidy. An Indonesian government minister confirmed to Reuters that the government is finalizing a plan to subsidize 6.5 million rupiah ($413) per purchase of an electric motorcycle. Officials are contemplating a similar subsidy for electric cars. The country’s government has a goal of 1.2 million electric bike purchases by 2024. The Indonesian government is also aiming for 35,000 electric car sales in the same time span. While demographics played a significant role, Indonesia’s motorcycle policy plans starkly contrast to the United States, where electric motorcycles were removed from the federal EV tax credit.